Resource-rich economies face growth challenges and inequality due to poor management.
Resource rich countries often struggle with economic growth and inequality, especially when institutions are weak. A boom in natural resources can lead to problems like currency appreciation and neglect of other industries. Proper management of resources is crucial, but many countries fail to save their wealth. However, some nations like Botswana, Canada, Australia, and Norway have successfully avoided these pitfalls. To improve resource management, practical suggestions are provided.