Select Page

Relative wealth of regions

Relative wealth is assessed by comparing the Gini coefficient of a region to the GDP per capita, as well as the size of each region on a purchasing power parity basis (PPP). It is apparent that in many African countries, although GDP is growing and is very large in many cases, the wealth generated by the country’s GDP is not filtered down to the average consumer, illustrated by high levels of inequality and low GDP per capita.

Specifically in Africa’s largest individual economy, Nigeria, the GDP per capita is very low relative to its GDP when compared to the other regions. South Africa is the leader on an individual-wealth basis, with only the third largest GDP of the group, however the country’s Gini coefficient is the worst on the continent, showing a large disparity between the rich and the poor. Both North African regions show a good mix of large GDP per capita, lower Gini coefficient, and large economy.

 

NEXT: Africa’s links to the globe