Average African GDP growth stabilizes in 2023 and 2024 – AfDB 

The African Development Bank, in its new report, estimates that the continent’s average Gross Domestic Product will stabilize at 4% in the next two years, up from 3.8% in 2022.

African economies remain resilient and with a stable outlook this year and next, despite tight global financial conditions, predicts the African Development Bank (AfDB).

In a new report on Africa’s Macroeconomic Performance and Prospects in 2023, presented recently on the sidelines of the 36th Assembly of the African Union in Addis Ababa, the AfDB estimates that Africa’s average Gross Domestic Product (GDP) will stabilize at 4% in the next two years, up from 3.8% in 2022.

Chief Economist and Vice President of the African Development Bank, Kevin Urama, said the continent could benefit from high demand for its commodities as countries seek food and energy alternatives in response to the disruptions caused by the war in Ukraine.

The continent, he noted, remains a treasure trove for savvy global investors but must strive for higher growth rates, more inclusive economies, and greater resilience to external shocks.

“The stable outlook projected for 2023-2024 reflects continued policy support in Africa, global efforts to mitigate the impact of external shocks, and increased uncertainty in the global economy,” said Kevin Urama, quoted in a statement published a few days ago on the AfDB website, consulted by Forbes Lusophone Africa.

Unfavorable global conditions, read the document, have led to rising inflation, higher debt service costs, and an increased risk of excessive debt in developing countries, including Africa.

With information from Forbes

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