Resource information
Infrastructure improvements boosted
growth in the Southern African Development Community (SADC)
by 1.2 percentage points per capita per year during
1995-2005, mainly from access to mobile telephony. Road
network improvements made small growth contributions, while
power sector inadequacy had a negative impact.
Infrastructure improvements that matched those of Mauritius,
the regional leader, could boost regional growth performance
by 3 percentage points. SADC's 15 member countries
include small, isolated economies with island states, a mix
of low- and middle-income countries, and larger countries
with potentially large economies. The economic geography
reinforces the importance of regional infrastructure
development to create a larger market and greater economic
opportunities. The region's infrastructure indicators
are high for Africa. The regional road network is
well-developed, and surface transport is comparatively
cheap, but subject to delays and long-haul fees. An
extensive railway system competes directly with road
transport. With integration and improvements, SADC's
ports could form an effective transshipment network. Air
transport, dominated by South Africa, is the best in Africa.
Electricity in southern Africa is well developed; the region
leads Africa in generation capacity and low rates, but
access is limited. ICT services are the most accessible
among the regions, though expensive. Landlocked countries
still need to be connected, and greater competition is
needed to reduce costs. Completing and maintaining
SADC's infrastructure will require $2.1 billion
annually for a decade. For small countries, and large
countries with small revenues, the burden may be
insurmountable without external assistance.
