Emerging African Middle Class Spurs Growth in Consumer Sector The rapidly growing African middle class, estimated at 370 million people or one-third of the continent's population, has increased consumer demand across sectors like retail, travel, and technology. This emerging consumer market has attracted more business and investment opportunities in Africa and caused a shift from commodities to consumer markets. As families transition out of poverty, their spending on items such as cell phones has risen significantly. Nigeria is expected to lead the growth of Africa's middle class, projected to be home to 7.6 million new middle-class households by 2030.

1. Emerging African
Middle Class Spurs
Growth in Consumer
Sector

2. In recent years, Africa’s historically stifled
economy has given rise to a rapidly growing
middle class. In addition to indicating a
trend toward future economic prosperity,
this emerging consumer sector has
increased business opportunities across the
continent. Consumer demand has led to an
influx of investment activity, thus causing a
shift in focus from commodities
investments to consumer market

3. As investors have increased their activity in
the consumer sector, so has the African
public. As noted by experts such as Mthuli
Ncube, former chief economist at the
African Development Bank and current
senior research fellow at Oxford University,
the transition from poverty has led families
to increase their spending in areas such as
retail, travel, and technology. For example,
in Ghana, spending on cell phones has

4. As of October 2014, the African
Development Bank estimated the
continent’s middle class at 370 million
people, or approximately one-third of the
total population. The African Development
Bank uses a daily spending range of $2 to
$20 to classify middle-class individuals,
while the Standard Bank uses a wider range
of $15 to $115.

5. Using this metric, Nigeria, Kenya, and the
nine other largest sub-Saharan countries
comprise 15 million middle-class families.
The Standard Bank has also predicted that
Nigeria will lead Africa in middle-class
growth, projecting that the country will be
home to 7.6 million new middle-class
households by 2030.