Africa is Not as Poor as You Think

John Ajayi
Interesting African Stories
6 min readSep 15, 2020
Credits: Forbes Africa

The media has not been so kind to Africa. Africa features in the international news mostly for terrorist bombings, nerve-racking corruption scandals, famine, poverty, and agrarian lifestyles that take the world back for a thousand years.

The media has not been lying. These things happen in Africa. A military coup d’etat recently happened in Mali. You thought the world was done with that, right?

I guess not.

But that’s not the whole story.

Mobile phone manufacturing in Rwanda is a different story.

The super-efficient light rail system in Ethiopia is a different story.

Car manufacturing in Africa is a different story.

And the manufacturing world is not gender-restrictive.

These beautiful landscapes are a different story.

These cities look beautiful day and night.

Photo by Yonko Kilasi on Unsplash (Nairobi, Kenya)
Luanda, Angola
Agadir, Morocco
Nairobi, Kenya
Cape Town, South Africa
Port Louis, Mauritius
Abuja, Nigeria

Wait.

Because tourist agencies went to sell you tickets, they show you only these beautiful parts:

And yes, they are in Africa.

What You See

Yeah, we also have this.

Poverty is a big issue all around the world. However, the definition of poverty is relative.

Modernization and industrialization make us think that crossing the threshold of poverty means owning certain things or having some amount of money in the bank.

This definition of poverty has been accepted by many Africans. So, it’s not uncommon for many Africans to judge their wealth by the kind of gadgets they use. If you don’t have a car and can’t afford the latest Apple products, they may look at you as poor.

So, poverty itself has no unifying definition in Africa.

However, the standards of living are not the same everywhere.

In many African cities, you can live well within $700 — $1000 a month. In fact, many families live on $1000 a month. To your surprise, many of these families own their homes and an average of two cars.

Many don’t have debts on their properties and they still save about $150 — $200 in the bank.

In many other cities in Africa, things may be difficult. For instance, in Lagos and Johannesburg, you may need $1000 and upwards a month to live well. This, however, depends on your lifestyle choices.

Food

Certain factors affect the price of food. Factors like production costs, transportation, taxes, and several others determine how much we pay for these necessities.

Food costs are also rising in Africa, but for less than $2 dollars you can get a satisfying meal. Of course, you will spend more if you want something more international. A good box of pizza is not cheap. Still, it doesn’t cost you much. You can get one for around $12.

Housing

Just like every major city in the world, housing costs rise with demand. It is the same in London, New York, Tokyo, Geneva, Paris, Lagos, Kigali, Nairobi, and Johannesburg. Thus, you should expect to find homeless people and slums.

Thousands of people sleep in their cars in California. Homelessness is a silent pandemic. In 2018, according to the White House, over half a million people were homeless in the United States.

People move to cities for better opportunities. Though not everyone gets one. It becomes the game for the fittest and the best.

I grew up in Nigeria. Owning a home is not easy, but it’s not impossible for someone in a less populated state who earns about $750 a month.

So, there are people who are terribly poor, but they are not the overwhelming majority.

Why Things Look Bad

The problem of definition

Like I mentioned earlier, the definition of poverty is relative. Many Africans are poor by several standards, no doubt. But when you look around, you don’t find them in the overwhelming majority.

Yes, you need to keep giving to war-torn regions and IDP camps. They can’t work, thus, no means of livelihood. Kindly support them.

The World Bank’s definition of poverty as living below $2 in a day is hard to calculate. Many grow what they eat. They don’t really spend money. To know if they’re living poor, you need to calculate the value of what they eat in a day.

Still, you need to factor that they live in their homes, own land, and have kids in school. You may see them in not-too-glamorous houses. Don’t be deceived, some of them are rich.

Bad Governance

Political problems make up most of the reason why Africa features in international news in the first place. A coup will get international attention.

Bad leadership has been in Africa for decades. Political offices are more like achievements than a call to duty. How else would you explain a church thanksgiving service because someone was elected?

Some policies don’t encourage private businesses to foster government monopoly. This makes growth difficult.

Colonial legacies

Colonial legacies have deeply affected societies. Many boundaries were arbitrarily set. The Yoruba people of Nigeria were split into two countries. Yet, they were joined with hundreds of other tribes.

The scars left by the Rwandan Genocide have been gradually fading off, but it was an outcome of the colonial legacy left by Belgium.

When the British were in Africa, they discouraged the internal production of finished products. They crippled several indigenous businesses. This was done to give room for products from Unilever, UAC, and many other European companies.

When they left, Africa was already largely a consumer economy. We got fast cash from the trades in raw materials, but to keep the juice flowing, colonialists orchestrated a political strategy. They ensured that power resided with those who supported the exportation of raw materials.

But, enough of the blame-game; Africa, largely, has had its own share of debauchery. Many countries could have developed fast with the influx of money, but they didn’t.

Until Africa gets into the production of finished products, it may still appear to be the needy sibling on the world stage.

But that is not to say that Africa is wretched, poor, and neolithic, as you see on TV.

The New Africa

The African millennials and gen zers were mostly not born into wealth. They experienced reality at a young age. This group has decided not to tow the same path their parents did.

Many people travel out for greener pasture, but not all. Some are making things happen.

The Forbes Africa 30 Under 30 list features young people leading transformational businesses. From sports to business to fashion to technology, the new Africa is different. It may not be very evident now, but it’s unraveling.

The future of Africa is this group, and despite the handicap they were handed at birth, they are reaching beyond just surviving. They are transforming their societies.

So, we may be in debt to China, the World Bank, and IMF, but we aren’t poor. We’ve got human capital.

And not all of us live on the fringes of poverty.

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John Ajayi
Interesting African Stories

Walking through this adventure called life. Am I the only one who thinks this way or life is just like Jumanji without dinosaurs?