Emaciation of African Economies II: Colonisation 1880–1960

Shortly after the official abolition of the slave trade, Western powers partitioned Africa among themselves and began to exploit the physical and human resources of the continent. Ocran highlights how colonisation further wrecked the economies in Africa. He identifies three kinds of colonisation in Africa: settler, non-settler and concessionary. He also characterises colonisation with large-scale land alienation, labour and resource exploitation as well as extractive institutions. The commodity market boards that exist in a number of African countries today, is another legacy of colonial extractive institutions. Ocran suggests that the existence of dual economies: formal and informal economies in most African countries are largely as a result of colonial economic policy. He draws a parallel between mercantilism and colonial economic policy in Africa. Ocran discusses how colonial powers discouraged industrialisation in the colonies and ensured these were markets and sources of raw materials. He concludes with the suggestion that economic development experiences in Africa have mostly been path dependent.