Africa will get old before it gets rich

Subject

Implications of demographic shifts in Africa.

Significance

Amid a wealth of interest in the socio-economic implications of Africa’s rapidly expanding youth population, relatively little attention is being given to the fact that Africa’s current youth bulge is eventually going to transform into progressively ageing populations, which will have significant socio-economic effects for countries across the region.

Impacts

• Variances in the arrival and speed of demographic transitions will shape different countries' economic outlooks over decades.
• With older populations and stronger service sectors, Mauritius and the Seychelles’ pensions experiences may provide lessons for others.
• Given Africa’s market potential, investors in today’s ageing African frontiers may be well-placed to exploit later, much larger interests.