Tue, Aug 4, 2015
Seychelles and Equatorial Guinea: On top of sharing the particularity of being some of the smallest countries in Africa, are also the two richest countries in the Africa.
Seychelles and Equatorial Guinea: On top of sharing the particularity of being some of the smallest countries in Africa, are also the two richest countries in the Africa, according to an analysis by the Global Finance Magazine.
Based on data from the IMF, the magazine ranked the world’s countries according to their GDP per capita and determined the poorest and richest ones. The gross domestic product or the GDP per capita is the market value of all the goods produced by a country in a period of time that helps support its economy. This is the best way to determine which African countries are the richest.
The analysis also used a Purchasing Power Parity (PPP) basis, which takes into account the living cost and inflation rates, in order to compare living standards between the different nations.
Using this measure Seychelles, an archipelago of 115 islands in the Indian Ocean off East Africa, has come in as the richest country in the Africa over the 2009-2013 period.
The Democratic Republic of Congo is at the other end of the spectrum and has been the poorest country in the world over the 2010-2013 period.
Global Finance Magazine Map of the richest and poorest countries in the world – Dark red: highest GDP per capita, Light red: lowest GDP per capita.
Africa's Richest Countries, Based on Gross Domestic Product (PPP) Per Capita 2009-2013 (and here’s the full global study):
It is important to notice that GDP is not a perfect measure to describe the well-being and quality of life of populations, and, in fact, there are other indexes that take into account other variables such as life expectancy, income distribution, literacy, etc., such as the UN Human Development Index and the Index of Sustainable Economic Welfare. However, using GDP enables policymakers and central banks to judge whether an economy is contracting or expanding and also gives an almost clear depiction of who’s rich and who’s lagging behind.
(Header Image Credit: Forbes)
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