Africa’s New Middle Class Lures Investment: Witney Schneidman

Aug. 9 (Bloomberg) -- For too long, the story of Africa hasbeen about government corruption, war and disease. The economicnews was bad, too; from 1975 to 1995, the continent was mired innegative growth, indebtedness and hyperinflation.

Now that story is changing. During the past 10 years, sixof the world’s fastest-growing economies have been in sub-Saharan Africa, according to the Economist magazine. Over thenext five years, the Democratic Republic of the Congo, Ethiopia,Ghana, Mozambique, Nigeria, Tanzania and Zambia may grow at anaverage of 7.2 percent annually, the Economist says. Over thisperiod, the average African economy will outpace its counterpartin Asia. Africa has become an important emerging market and,compared with other regions, it has a relatively high rate ofreturn on investments.