Sunday, October 4, 2009

Sustainable Investment in Africa – Is It Possible?

Food prices are set to rise on a global level and countries like Africa are being predicted to feel the worst effects of it. However, experts believe that sustainable investment from large companies and governments across the world will not only solve food issues for Africa but it will also help the continent turn into breadbasket of the world.

Growth has been outstripped by demand for more than three decades due to the technology driven revolution in the agriculture sector. Even though the production of grain has increased with the latest agricultural methods, global food crisis continues to create problems. Nations are getting affected with the rise in food prices and decline in yield of crops due to the impact of climate change. Even though the situation has been manageable in several developed as well as developing countries, the impact has been disastrous for people in countries like Africa.

Even though the continent is a food deficit region, it holds a lot of potential for increasing the production of food. For years, Africa has invested more in the development of rural infrastructure rather than agriculture. But with more sustainable investment in agricultural development, this region might become the bread basket for the world. Green investment by African companies is on the rise and if the required support is provided from the global commercial finance sector to Africa, the world can find a solution to global food shortage.

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1 comment:

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