
Rising Debt and Inequalities in Resource Rich Countries becoming a cause for concern
Introduction
Largely
driven by the extractive industries, gross domestic product (GDP) growth within
certain African economies continues to rank among the world’s highest; the
continent possesses 10 percent of the world’s oil reserves, 40 percent of its
gold ore, and no less than 95 percent of platinum group metals. Extractive
resources account for almost one quarter of Africa’s GDP. About 3.5 billion
people live in countries rich in oil, gas or minerals. But all too often these
resources have become a source of conflict rather than opportunity. Many of
these countries also suffer from poverty, corruption, and conflict stemming
from weak governance. Non-renewable mineral resources play a dominant role in
81 countries, which collectively account for a quarter of world GDP, half of
the w...