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Poorest African Countries by GDP 2021: Top 10

which country is the poorest in Africa

Top 10 Poorest African Countries: Poverty is a complex problem. The most widely accepted definition of poverty is based on monetary considerations. According to the World Bank, extreme poverty is defined as earning less than $1.90 per day, or $700 per year. To put it another way, poor people earn less than what is considered essential to maintaining a single adult. According to this criterion, 10% of the global population is impoverished. Global poverty, on the other hand, has consumed billions more than this 10%.

The majority of Africa’s more than fifty countries are among the poorest in the world. The continent’s poverty levels have risen due to decades of inadequate leadership, political instability, and low economic growth. Despite the continent’s enormous natural resources, many people remain impoverished. In comparison to other parts of Africa, poverty is substantially worse in Sub-Saharan Africa, with most countries in the region seeing diminishing growth and rising poverty since their independence.

Gross domestic product (GDP) per capita and gross national income (GNI) per capita are two metrics that are frequently used to determine a country’s wealth. GDP per capita is calculated by dividing the total value of a country’s goods and services by its population. GNI per capita is comparable, but it also includes any income generated outside of the country, such as from overseas investments or company activity.

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Top 10 Poorest Countries in Africa by GDP

The following is a list of the poorest African countries as of 2021. The rankings are based on each country’s most current GDP per capita.

1. BURUNDI (GDP PER CAPITA $771): Burundi’s population is 11.58 million people. With an economic growth rate of 3.21 per cent, it is one of Africa’s poorest countries.

which country is the poorest in Africa

which country is the poorest in Africa

The per capita GDP is 771 dollars. Burundi has a poverty rate of 65 per cent, with one out of every three Burundians in need of humanitarian aid. The AIDS pandemic has had a large impact on the country.

2. SOMALIA (GDP PER CAPITA $875): The Horn of Africa is home to Somalia. In early 2020, the World Bank predicted a population of 16.62 million. The gross domestic product (GDP) per person in the country is $875.

For many years, Somalia has been wracked by civil war. Somalia’s civil conflict continues. In the country, there is no functional government. As a result, there is no output or economy. Instead, Somalia is beset by famine and malnutrition, making it one of Africa’s poorest nations. Political unrest, including terrorist attacks, have wreaked havoc on the country. With a 67 per cent youth unemployment rate and many youngsters living in poverty, the situation is dire. The poor’s life in Somalia is being made worse by severe drought and harsh weather.

Also see: Causes, Effects and Solutions to Poverty in Africa

3. THE CENTRAL AFRICAN REPUBLIC (GDP PER CAPITA $980): The Central African Republic’s GDP per capita is $980. Economic growth has been hampered by sociopolitical problems. Internal wars have plagued the Central African Republic, which is one of the poorest countries in the world. Although the Central African Republic is recognized for its diamond trade, the diamond trade has no financial value in the country. This is regarded to be a purely political affair.

Poorest countries in Africa

Poorest countries in Africa

Agriculture and mining are the two primary sectors that contribute to the economy’s growth. In 2018, the rate of inflation was 3.9 per cent. CAR is ranked 161 in the 2020 index for economic freedom, with a score of 49.1.

4. DEMOCRATIC REPUBLIC OF CONGO (GDP PER CAPITA $1,131): Middle Africa is home to the Democratic Republic of Congo. In terms of natural resources, it is one of the world’s wealthiest countries. Its economy, on the other hand, is one of Africa’s poorest. It has an estimated population of 81,339,988, with a substantial percentage of the population living in poverty. According to the World population review, it has a $1,131 GDP per capita.

Poorest Nations in Africa by GDP

Poorest Nations in Africa by GDP

The poverty rate in 2012, according to the World Bank, was 64 per cent. However, the country is making significant progress in overcoming poverty, and in the future years, it may overtake countries like India.

Also see: Top 10 Strongest African countries 2021

5. NIGER (GDP PER CAPITA $1,263): The country of Niger is a landlocked one. The country’s GDP per capita is $1,263. According to World Bank estimates from 2020, the country’s poverty rate is 44.1 per cent. Over 300,000 refugees have taken up residence in the country. It has a rapidly growing population, food insecurity, political instability, and natural disasters.

Here is a list of the poorest African nations

Here is a list of the poorest African nations

The agricultural industry is responsible for almost 40% of economic growth. Furthermore, agriculture provides a significant portion of the overall population’s daily income. Since 2011, the country has been growing its public debt to fund new initiatives. Unfortunately, the country is largely reliant on foreign debt, placing it in jeopardy of severe financial trouble.

6. MOZAMBIQUE (GDP PER CAPITA $1,297): After 15 years of civil conflict, Mozambique, which had been exploited by the Portuguese for centuries, is an African country attempting to progress. Mozambique is home to 31.41 million people, with 41% living in poverty. Despite its abundant natural resources, Mozambique, one of the continent’s poorest countries, is attempting to accelerate its economic growth by exploiting natural gas and coal deposits discovered in the country recently.

which African country is the poorest and why

which African country is the poorest and why

Mozambique’s economy has grown significantly throughout the years. The most recent GDP per capita is $1,297. This shows that the country’s economy has been improving since the end of the civil war. With a score of above 48, it is one of the world’s most free economies on the 2020 world index. Economic growth has been fueled by factors such as higher government spending, fair trade restrictions, and a lower tax burden.

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7. LIBERIA (GDP PER CAPITA $1,428): Liberia’s current GDP per capita is $1,428, according to the World population review. It is one of the countries that has consistently rated among the world’s poorest. Despite its abundant subterranean and overland resources, Liberia is an impoverished country in West Africa that has suffered from a lack of education and Western exploitation.

how to know the poorest countries by GDP

how to know the poorest countries by GDP

Since 2003, the country has had political stability. Its government, on the other hand, has failed to bring its population out of poverty. The country’s high external borrowing has put it at risk of being overly reliant on foreign funding. From 2014 to 2016, the country was ravaged by the Ebola virus, which hampered humanitarian imports. Furthermore, the lack of and delayed development of infrastructure continues to be a deterrent to potential foreign investment.

8. MALAWI (GDP PER CAPITA $1,568): Malawi is landlocked since it is surrounded by Zambia, Tanzania, and Mozambique. It is one of the poorest countries in the world and Africa. The majority of people in this country, which earned independence from the British about 50 years ago, are still impoverished.

At the moment, the country’s GDP per capita is $1,568. Agriculture has a significant impact on the country’s economic growth. In addition, its tobacco sector is thriving.

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9. MADAGASCAR (GDP PER CAPITA $1,593): The GDP per capita in the country is approximately $1,593. The country’s economy has grown significantly in recent years, according to the World Bank. The Gross Domestic Product (GDP) is continually increasing. The country’s economy relies heavily on the trading sector. Poverty has resulted in malnutrition in a large portion of the country’s population, particularly children. The poorest citizens of the country have restricted access to basic necessities of life.

10. CHAD (GDP PER CAPITA $1,603): The GDP per capita is $1,603, while the GNI per capita is $660 in this landlocked country in North Central Africa. Political instability, as well as desertification, are important issues in this country.

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Conclusion

Natural resources abound on the African continent. I believe many African countries can emerge from poverty in years to come if adequate leadership is provided.

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