Skip to main content
  • 1143 Accesses

Abstract

Africa has more resource-rich states than any region in the world, and the continent’s economic development will be driven largely by the extraction and monetization of these resources. Governments that develop their resources will extract significant rents and generate substantial fiscal revenues from resource exports. But will these revenues lead to economic growth? The experiences of many countries suggest that natural resources could be a blessing for a country, but are more likely to be a curse, with negative economic impacts, the onset of endemic corruption, increased civil strife, and even resource-driven conflict. This chapter explores the role of natural resources in Africa’s economic development and attempts to answer the question, if natural resource development can help African countries achieve a demographic dividend as their demographic structures change through to 2050.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

eBook
USD 16.99
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD 129.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info
Hardcover Book
USD 179.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

References

  • Africa Progress Panel. (2013). Equity in extractives. Stewarding Africa’s natural resources for all. Geneva: Africa Progress Panel. http://www.africaprogresspanel.org/publications/policy-papers/africa-progress-report-2013. Accessed 24 May 2016.

  • African Natural Resource Center. (2015). African Natural Resources Center (ANRC) draft strategy for 2015–2020. Abidjan: African Development Bank.

    Google Scholar 

  • Allen, F. (2012). The enemy within: Oil in the Niger Delta. World Policy Journal, 29(4), 46–53.

    Article  Google Scholar 

  • Auty, R. M. (Ed.). (2004). Resource abundance and economic development, UNU/WIDER Studies in Development Economics. Oxford: Oxford University Press.

    Google Scholar 

  • British Petroleum. (2015). Statistical review of world energy 2015. London: British Petroleum. http://www.bp.com/en/global/corporate/energy-economics/statistical-review-of-world-energy.html. Accessed 24 May 2016.

  • Collier, P., van der Ploeg, F., Spence, M., & Venables, A. (2010). Managing resource revenues in developing countries. IMF Staff Papers, 57(1), 84–118.

    Article  Google Scholar 

  • Daniel, P., Gupta, S., Mattina, T., & Segura-Ubiergo, A. (2013). Extracting resource revenue. Finance & Development, 50(3), 19–22.

    Google Scholar 

  • Elbadawi, I. A., & Mohammed, N. A. (2015). Natural resources in Africa. Utilizing the precious boon. In C. Monga & J. Y. Lin (Eds.), The Oxford handbook of Africa and economics. Oxford: Oxford University Press.

    Google Scholar 

  • Erbil, N. (2011). Is fiscal policy procyclical in developing oil-producing countries? Working paper #11/171. Washington, DC: International Monetary Fund.

    Google Scholar 

  • Farole, T., & Winkler, D. (Eds.). (2014). Making foreign direct investment work for Sub-Saharan Africa: Local spillovers and competitiveness in global value chains. Washington, DC: World Bank Group.

    Google Scholar 

  • Hamman, E. (2014). Planning for the future. A demand and supply study on the oil and gas sector in Uganda, Presentation to the UNCTAD OILGASMINE Special Event on 15–16 October 2014. Geneva: Palais des Nations.

    Google Scholar 

  • IBIS. (2014). Resource-rich countries in Sub-Saharan Africa. Copenhagen: IBIS Natural Resource Watch. http://ibis-global.org/sites/default/files/media/pdf_global/aap_pdf/map_of_resource-rich_countries_in_sub-saharan_africa_final.pdf. Accessed 24 May 2016.

  • International Monetary Fund. (2012). Macroeconomic policy frameworks for resource-rich developing countries. Washington, DC: International Monetary Fund.

    Google Scholar 

  • International Monetary Fund. (2015). IMF staff concludes 2015 article IV mission to Equatorial Guinea, Press Release # 15/211. Washington, DC: International Monetary Fund.

    Google Scholar 

  • International Trade Centre. (2015). Trade analysis system [data file]. New York: United Nations Statistical Division. http://www.trademap.org. Accessed 24 May 2016.

  • KAPSARC. (2015). Natural resource revenue management strategies in developing countries: A calibrated macroeconomic model for Uganda, Discussion Paper # KS-1526-DP020A. Riyadh: King Abdullah Petroleum Studies and Research Center.

    Google Scholar 

  • Kerr, S. (2015). UAE drops fuel subsidies to boost finances and cut emissions. Financial Times, July 22. http://www.ft.com/intl/cms/s/0/18246646-3050-11e5-91ac-a5e17d9b4cff.html. Accessed 24 May 2016.

  • Lawson-Remer, T., & Greenstein, J. (2012). Beating the resource curse in Africa: A global effort. CFR.org. Council on Foreign Relations, 2 Aug. 2012. Web. 4 Nov. 2015.

    Google Scholar 

  • Maconachie, R., & Binns, T. (2007). Beyond the resource curse? Diamond mining, development and post-conflict reconstruction in Sierra Leone. Resources Policy, 32(3), 104–115.

    Article  Google Scholar 

  • Meijia, P. X., & Castel, V. (2012). Could oil shine like diamonds? How botswana avoided the resource curse and its implications for a New Libya. Abidjan: African Development Bank, Chief Economist Complex.

    Google Scholar 

  • Obi, C. I. (2010). Oil extraction, dispossession, resistance, and conflict in Nigeria’s oil-rich Niger Delta. Canadian Journal of Development Studies, 30(1–2), 219–236.

    Google Scholar 

  • Sachs, J., & Warner, A. M. (1995, revised 1997). Natural resource abundance and economic growth. In G. Meier & J. Rauch (Eds.), Leading issues in economic development. Oxford: Oxford University Press.

    Google Scholar 

  • Sachs, J. D., & Warner, A. M. (2001). The curse of national resources. European Economic Review, 45, 827–838.

    Article  Google Scholar 

  • Stevens, P. (2015). The resource curse revisited. Appendix: A literature review. London: Chatham House.

    Google Scholar 

  • World Bank. (2014a). Africa’s pulse: An analysis of issues shaping Africa’s economic future. World Bank 10. Washington, DC: World Bank Group.

    Google Scholar 

  • World Bank. (2014b). World development indicators (GNI per capita, Atlas method [Data file]). Washington, DC: World Bank Group. http://data.worldbank.org/indicator/NY.GNP.PCAP.CD. Accessed 24 May 2016.

Download references

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to Daniel J. Mabrey .

Editor information

Editors and Affiliations

Rights and permissions

Reprints and permissions

Copyright information

© 2017 Springer International Publishing AG

About this chapter

Cite this chapter

Mabrey, D.J. (2017). The Role of Natural Resources. In: Groth, H., May, J. (eds) Africa's Population: In Search of a Demographic Dividend. Springer, Cham. https://doi.org/10.1007/978-3-319-46889-1_24

Download citation

  • DOI: https://doi.org/10.1007/978-3-319-46889-1_24

  • Published:

  • Publisher Name: Springer, Cham

  • Print ISBN: 978-3-319-46887-7

  • Online ISBN: 978-3-319-46889-1

  • eBook Packages: Social SciencesSocial Sciences (R0)

Publish with us

Policies and ethics