The African economy will grow much faster this year, a World Economic Forum (WEF) report has concluded.

According to the report, the continent's economic growth rate will reach 6.2 per cent in 2007, up from last year's figure of 5.5 per cent.

But the report warned that the African economy was still being hindered by poor access to finance, corruption and poor infrastructure.

Jennifer Blanke, WEF: "The African macro-economic environment is looking better and better."

It also said that much of the continent's current growth was being helped by external factors such as debt relief and high commodity prices.

The Africa Competitiveness Report, which was compiled in association with the World Bank and African Development Bank, also attributed Africa's rising gross domestic product (GDP) to a booming world economy.

"Truly sustainable growth, however, must be based on solid domestic foundations rather than a cyclical or exogenous circumstances," the study said.

WEF senior economist Jennifer Blanke said: "The African macro-economic environment is looking better and better.

"While there have been improvements, the problem is that the rest of the world is moving faster."

Tunisia is Africa's most competitive economy, the report found.

South Africa, which is by far the largest economy on the continent, ranked second for competitiveness.

The Africa Competitiveness Report was published at the start of this year's WEF for Africa conference in Cape Town, South Africa.

The article Positive outlook for African growth originally appeared on 999 Today