The latest Macroeconomic Performance and Outlook report by the African Development Bank Group (AfDB) presents a buoyant forecast for Africa’s economic future, expecting the continent to continue as one of the world’s fastest-growing regions.
In 2024, Africa’s real GDP growth is projected to average 3.8%, increasing to 4.2% in 2025, rates that surpass global averages projected at 2.9% and 3.2% respectively.
Fastest Growing Economies
Among the world’s 20 fastest-growing economies, eleven are set to be African in 2024. These include Niger, leading with an impressive projected growth rate of 11.2%, followed by Senegal (8.2%), Libya (7.9%), Rwanda (7.2%), Côte d’Ivoire (6.8%), Ethiopia (6.7%), Benin (6.4%), Djibouti (6.2%), Tanzania (6.1%), Togo (6%), and Uganda (6%)
Path to Prosperity
The report emphasizes the critical role of larger financing pools, policy interventions, and economic integration in fueling Africa’s ascent. Fiscal deficits are stabilizing, thanks in part to pandemic recovery and fiscal consolidation measures, marking a significant step towards sustainable economic health.
A United Vision for Growth
Echoing the sentiments of African leaders, the report underscores the importance of intra-African trade and economic collaboration. The African Union’s inclusion in the G20 highlights the continent’s growing influence and the global recognition of its economic potential.
Strategies for Sustainable Growth
To harness this momentum, Africa must focus on tackling inflation, enhancing fiscal consolidation, and investing in human capital. Strategic reforms and diversification are key to building resilience and ensuring long-term development.
Sources and References:
- African Development Bank Group. “Africa’s Macroeconomic Performance and Outlook – January 2024”.
- Nairametrics. “Eleven of the world’s 20 fastest growing economies in 2024 are in Africa – AfDB”.
