Projected at 3.9% in 2020 compared to 3.4% in 2019, Africa’s economic growth is showing good forecasts according to the prospects of the African Development Bank (AfDB). A dynamic driven by Rwanda, Ethiopia, Côte d’Ivoire, Ghana, Tanzania and Benin.
This growth, which is roughly at the same level as that estimated by the institution for the year 2018, has been possible thanks to an increase in exports, especially from countries producing raw materials. They were able to take advantage of soaring oil prices during the year.
According to the report, “in 2019, for the first time in a decade, investment spending has a greater share (more than half) in the dynamics of GDP growth”. It is more than private consumption which has represented an important part of the growth of the GDP of African States in recent years.
At the subregional level, East Africa has the highest growth (5%), followed by North Africa (4.1%) and West Africa ( 3.7%). Central Africa posted growth of 3.2% while the lowest performance was achieved by Southern Africa with 0.7% (compared to 1.2% in 2018), due in particular to the slowdown in the South African economy, coupled with the recent ravages of cyclones Idai and Kenneth.
In contrast, according to the AfDB, five major economies of the continent will experience moderate expansion: Algeria, Egypt, Morocco, Nigeria and South Africa.
According to the ADB, the growth rate should reach 3.9% in 2020 and 4.1% in 2021.