According to a recent report on Recent Economic and Social Developments in Africa by the Economic Commission for Africa (ECA), African countries are anticipated to dominate the world's top 10 highest-growing economies in 2024.
The report highlights Niger, Senegal, Ivory Coast, Democratic Republic of Congo (DRC), and Rwanda as the most notable growth drivers in Africa for 2024.
Adam Elhiraika, the Director of the Macroeconomics and Governance Division at ECA, emphasized that Africa was poised to continue its robust growth trend, following its status as the fastest-growing region after East and South Asia in the developing world in 2023.
Niger and Senegal are expected to experience significant economic growth, propelled by increased hydrocarbon production and exports. Senegal's growth will also be driven by rising private and infrastructure projects.
However, recent military coups and sanctions have disrupted economic activities in some African nations, leading to significant social costs.
Ivory Coast, DRC, and Rwanda are projected to experience robust expansion attributed to increased infrastructure investment, development in tourism, performance in the mining industry, and economic diversification.
The report forecasts Africa's economic growth to rise from 2.8% in 2023 to 3.5% in 2024 and reach 4.1% in 2025, driven mainly by net exports, private consumption, and gross fixed investment.
Despite these positive projections, Africa's economic growth remains unstable and lower than potential, necessitating major fiscal and monetary policy shifts to address internal and external balances, inflation, and debt issues.
The report also underscores the importance of revitalizing trade in Africa, implementing the African Continental Free Trade Area (AfCFTA), mobilizing domestic resources for sustainable development goals (SDGs), implementing structural reforms, and capitalizing on global shifts such as the transition towards renewable energy.
