Africa AfricaAsia  Economy Report

Reasons why Africa has the World’s Highest Entrepreneurship and Discontinuance Rates

Senegalese women sell processed mangos and yams Photograph: United Nations/Evan Schneider

Africa boasts of the world’s highest entrepreneurship and female entrepreneurship rates. However, while entrepreneurial potential is high, the contribution to economic growth has been limited. The big question is: Why?

The numbers look great until one realizes that Sub-Saharan Africa also has the highest small business discontinuance rate of 8.4%. While the job creation potential is promising, it is a far cry from the demands – Africa will need 122 million new jobs by 2022. Further, only 20 percent of African entrepreneurs are introducing new products and services. Africa has a lot of survival entrepreneurs who were pushed into entrepreneurship by unemployment.

(Africanexponent)

About the author

Adewale Adenrele Muhideen

Journalist ,PR, Researcher, Culture and Tourism promoter, Business Development Consultant.

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