Monday, July 26, 2010

Impact of the European Spending Cuts and Debt Crisis on Africa

In a recent article, AfDB Chief Economist Mthuli Ncube contends that Europe's planned cuts in public spending will have a negative effect on Africa through various channels of transmission. He argues that a decrease in African exports to Europe, the volatility of the euro, and the 'crowding out' of development assistance to Africa could create a confluence of factors having a negative effect on the continent. Click here to read the full article.