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organized exchanges (classified as homogenous goods), 20% were products with reference prices
(classified as intermediate), and 20% of exports could be considered as differentiated products.
The demand for exports from the region is at best sluggish and this is contributing to a widening of
current account deficits. MICs such as Senegal have witnessed a significant weakening of exports, while
oil-exporting countries, such as Cameroon, have also seen a gradual drying up of export receipts
especially in 2012 due mainly to lower fuel prices. Although LICs have seen an increase in exports the
rise has been fairly modest. In the smaller countries exports are benefiting substantially with the
commencement of production in new resource projects. These new projects have been financed by large
financial inflows which, together with import needs, have affected the balance of payments in those
countries. Service sector exports and the remittances continue to be strong across the region. Table 3.3
provides a data picture of the exports of goods and services of selected OIC counties in the sub-Saharan
regions.
Table 3.3 Exports of Goods and Services (% of GDP)
Countries 2004-8 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Burkina Faso 10.6 11.3 9.8 11.4 10.6 9.9 12.6 21.4 25.7 28.4 28.8
Cameroon 27.7 22.7 24.5 29.3 31.0 31.1 23.5 25.6 30.7 32.1 33.0
Senegal 26.3 27.1 27.0 25.6 25.5 26.1 24.4 25.0 25.2 25.0 25.1
Uganda 14.8 12.2 12.3 14.3 15.6 19.8 20.7 21.4 22.3 20.8 21.5
Source: IMF African Department database, September, 19, 2012 and World Economic Outlook Database,
September 19, 2012
As the above data shows, the weakest of the exporting nations is the LIC, Uganda, with exports having
peaked in 2010 and then plateauing off till 2013. Burkina Faso has the most promising growth rate in
exports. It has more than trebled its rate from the start of the global recession (from 9.9 in 2008 to 28.4 in
2012). Cameroon’s larger share is accounted for by the fact that it is an oil-producing country with its
exports reflecting the market trends in oil exports generally. Mineral fuels, oils, and distillation products
accounted for more than 50% of the total export in Cameroon. For an oil-producing country the decline in
exports revenue from that sector could have a devastating effect. However, it has also had a positive
outcome in that it has pushed growth and development of other sectors where SMEs prevail. In fact, in
2008-2009, the decline in Cameroon’s export was as a result of fall in its oil export. This fall in oil
exports has had the effect of developing the non-oil sector, such as cocoa preparations, which is
composed mainly of SMEs
Compared to Cameroon the trajectory of growth in exports of the other three countries provides an
alternative scenario. The non-oil producing middle to low income countries have been able to show better
a positive trend over the past 10 years, despite the recessionary global economic climate. In all cases,
though, we are seeing some drop in exports in the final quarter of 2012 and the first quarter of 2013.
In general terms the strength of growth in the Sub-Saharan region has been assisted in part by supply- side
factors such as the expanding natural resource sectors and apparent changes in climatic conditions. LICs
have also seen better institutional facilities, the development of more robust policy frameworks, a reduced
burden of external debt and more attractive commodity prices. Against this it is necessary to weigh up
possible downside effects such as ineffectual policy measures in Europe, especially in the Euro area, with
potential spill-over effects across the world. This problem will not be limited to Sub-Saharan Africa. The
other possible downside is lower future output growth resulting from the slowing down of the major
economies and possible higher levels of fiscal adjustment. A 1% drop in the global growth rate could
shave 0.6 points off the growth rate in Africa. The worst outcome for a relatively small drop in output is
for countries which are dependent on one or two export commodities, with negative multiplier effects on