Capital and Capital Supply in Relation to the Development of Africa

Abstract

The major part of this paper is devoted to an analysis of the magni tude and forms of external economic assistance that has been flowing in recent years to Africa south of the Sahara. I have preferred to concentrate on this aspect of capital supply for two major reasons. In the first place, a stocktaking of the types and amounts of external financial resources available for the economic development of the countries in this area, seems to me to be particularly useful to African officials concerned with developmental problems. In the second place, we have only little detailed knowledge of domestic capital formation in many countries of the area. I have, however, brought together in the second part of this paper a number of considerations that are relevant to an analysis of future capital requirements of Tropical Africa.²