Main menu For students For teachers Explore our subjects Student events & courses

Explore

More for students
Sign in

Teaching Economics

Topic updates

Development Barriers - How to Attract Private Finance to Africa’s Development

Geoff Riley

4th August 2021

Share this content:

Around 95% of infrastructure spending in sub-Saharan Africa is funded by national governments rather than the private sector.

This IMF research blog provides some useful context on the issue and discusses some of the barriers to attracting private sector finance such as currency risk, exit costs for investors and under-developed financial markets.

It is a familiar but important story.

Sub-Saharan Africa has huge infrastructure needs to drive inclusive growth and sustainable development. It attracts only 2 per cent of global foreign direct investment and much of this is skewed towards extractive sectors.

Share this content:

Geoff Riley

Geoff Riley FRSA has been teaching Economics for nearly forty years. He has over twenty years experience as Head of Economics at leading schools. He writes extensively and is a contributor and presenter on CPD and Revision conferences in the UK and overseas.

@tutor2uGeoff

You might also like

Macro Case Study: India's development

Topical case studies

In the News Teaching Activity – How does conflict influence growth and economic development? (Jan 2026)

22nd January 2026

In the News Teaching Activity – what are the benefits and costs of salmon fishing in Chile? (June 2025)

5th June 2025

Tech Solutions Helping Kenyan Fishing Communities

21st February 2025

Development Economics in 2025: Challenges and Opportunities for Emerging Markets - Livestream Notes

20th February 2025

What Are Government Bonds? - Economics Mastery Series

9th January 2025

Africa’s Digital Divide: How Tariffs Are Holding Back Growth

17th December 2024

Case Study: Foreign Direct Investment (FDI) and the UK Economy

15th December 2024