What goes boom must go bust

A decade of decadence has come to an end for African oil producers. International oil prices have fallen from last summer’s $100 per barrel highs, to averages of $56 in the first half of this year.

After generating hundreds of billions of dollars in wealth over a commodities super-cycle, Africa’s big oil producers are facing economic crises and the threat of political instability. Even the continent’s new petro-states, some with relatively strong institutions and laws on transparency and accountability, are feeling the strain, well before their oil industries have really taken off.

In the article 'Africa's oil boom goes bust', DIIS senior researcherLuke Pateyargues thatregardless of the strengthof their democracies and institutions, the plunge in oil prices has tested the resolve of all Africa’s petro-states.