Oil and gas can contribute to development in Africa despite falling oil prices

When oil or gas is found in sub-Saharan African countries, expectations flare at the prospect of revenues that can be spent on social expenditure like health and education.

However, the fall in global oil prices highlights the importance of long-term productive investments. A strategy for the development of industries and infrastructure may therefore not be a bad idea, even if it reduces social expenditure in the short run.

This requires principles and measurable objectives to be in place for investments in order to avoid the siphoning off of resources. Politicians should promote learning environments in relevant sectors than aiming at creating national champions.