Author
Abstract
In the 1980s most African economies hit rough waters, as prices of food and petrol spiralled out of control, governments struggled to pay their employees and infrastructure crumbled. This period of stalled or falling GDP per capita, lasting from the late 1970s to the mid-1990s, has become known as Africa’s ‘lost decades’. This chapter describes the onset of this economically tumultuous era and discusses some of the main economic explanations for the downturn, focusing both on external shocks, such as falling terms of trade and global interest rates, and policy responses. It discusses the emergence and role of structural adjustment programmes and the debates around their mixed results. Lastly, it reflects on the similarities and differences between the onset of the crises in the 1970s and 1980s, and current conditions in Africa, in light of growing debt difficulties and slowing growth across many parts of the continent.
Citation
Simson, Rebecca (2025). “Africa’s lost decades, 1974-1994”, In Ewout Frankema, Ellen Hillbom, Ushehwedu Kufakurinani and Felix Meier zu Selhausen (eds.), The History of African Development: An Online Textbook for a New Generation of African Students and Teachers. African Economic History Network E-Book.