The paper x-rays the nature and character of classes in Africa; and how class is central to understanding the challenges of development and underdevelopment of the African States. With dependency theory, the paper noted that the nature and character of the classes, which was bequeathed by the colonialists, with poor development of productive forces, labour power, objects of labour, and means of labour with corresponding poor social relations of production coupled with the negative role of Africans in both leadership and followership after independence is central to the understanding of the development and underdevelopment of states in Africa. The paper recommended, among other things, the development of states, the leadership role of states in establishing the framework of economic strategy, and collaboration between the states, state enterprises, and commercial companies as a road to development. Corruption and bad governance must be drastically reduced, if not completely eradicated, through the installation of visionary, honest, and democratic leadership. This kind of leadership is equally achievable through free, fair, and credible elections.