Lion economies

AAA

DEFINITION of 'Lion economies'

A nickname given to Africa's growing economies, which had a collective GDP of $1.6 trillion in 2008, close to Russia's or Brazil's. Key sectors contributing to Africa's collective GDP growth include natural resources, retail, agriculture, finance, transportation and telecommunications. Improvements in political stability and economic reforms have aided growth. (For more, see: Why You Should Pay Attention To Africa Right Now.)

INVESTOPEDIA EXPLAINS 'Lion economies'

The International Monetary Fund estimates that sub-Saharan Africa’s economies will grow by 5.4% in 2014 and by 5.8% percent in 2015. Nigeria’s economy, Africa’s largest, could grow at about 7.1% a year through 2030, according to McKinsey & Co.

As big as Africa's collective GDP is and as fast as it's growing, Africa-only mutual funds or ETFs are rare. The sole continent-wide ETF, the GDP-weighted Market Vectors Africa ETF (AFK), invests in South Africa (22%), Nigeria (18%), Egypt (17%), Morocco (9%) and Kenya (2%).

See also: Tiger Economy; Tiger Cub Economies; Celtic Tiger; Four Asian Tigers; and other 'tiger' variants.

RELATED TERMS
  1. Nordic Tiger

    A colloquial term for the Scandinavian nation of Iceland. Prior ...
  2. Anatolian Tigers

    A colloquial term that refers to a number of cities in central ...
  3. Gulf Tiger

    A colloquial term for the glittering city and emirate of Dubai ...
  4. Tatra Tiger

    A nickname or colloquial term for the central European nation ...
  5. Baltic Tiger

    A colloquial term that refers to any one of the three Baltic ...
  6. Tiger Cub Economies

    The four Southeast Asian economies of Indonesia, Malaysia, the ...
Related Articles
  1. 10 Common Financial Terms Every Newbie ...
    Investing Basics

    10 Common Financial Terms Every Newbie ...

  2. Boom or Bust? The End of China's One-Child ...
    Economics

    Boom or Bust? The End of China's One-Child ...

  3. Top Ranking Nations By HNWI
    Personal Finance

    Top Ranking Nations By HNWI

  4. Is Your Stock Headed South?
    Economics

    Is Your Stock Headed South?

comments powered by Disqus
Hot Definitions
  1. Last In, First Out - LIFO

    An asset-management and valuation method that assumes that assets produced or acquired last are the ones that are used, sold ...
  2. Ghosting

    An illegal practice whereby two or more market makers collectively attempt to influence and change the price of a stock. ...
  3. Elasticity

    A measure of a variable's sensitivity to a change in another variable. In economics, elasticity refers the degree to which ...
  4. Tangible Common Equity - TCE

    A measure of a company's capital, which is used to evaluate a financial institution's ability to deal with potential losses. ...
  5. Yield To Maturity (YTM)

    The rate of return anticipated on a bond if held until the maturity date. YTM is considered a long-term bond yield expressed ...
  6. Net Present Value Of Growth Opportunities - NPVGO

    A calculation of the net present value of all future cash flows involved with an additional acquisition, or potential acquisition. ...
Trading Center