HOUSING MARKET DYNAMICS IN AFRICA

Africa’s economic growth is being driven by a burgeoning demographic shift and rapid urbanization trends. The continent’s population of 1.18 billion is projected to double by 2050, with the region urbanizing faster than any other in the world. This presents both an opportunity and a challenge for the continent. In many urban areas in developed countries, the housing sector has been at the forefront of stimulating economic growth. Increased agglomeration in African cities has the potential to create economies of scale and catalyze the structural transformation of African economies. However, the benefits of urbanization will materialize only if policymakers adopt effective urban policies to address urban infrastructure and severe housing deficits. This has not been the case in the past as lack of urban planning or effective implementation of policies has resulted in the proliferation of slums. Now the opportunity is there to provide effective solutions both affordable and sustainable taking into account the potential.