Whether you are a business owner or an investor, you won’t want to miss this insightful article on Africa’s economic growth and the top-performing economies to watch.
Read below to discover the immense potential waiting to be tapped!
Africa is on the rise!
African economies are expected to grow by over 5.5% on average in 2023-2024. This will enable them to reclaim their position among the world’s ten fastest-growing economies, despite the challenges of the Covid-19 pandemic.
Let’s take a closer look at the numbers:
- Rwanda (7.9%)
- Côte d’Ivoire (7.1%)
- Benin (6.4%)
- Ethiopia (6.0%)
- Tanzania (5.6%)
- Democratic Republic of Congo (6.8%)
- The Gambia (6.4%)
- Mozambique (6.5%)
- Niger (9.6%)
- Senegal (9.4%)
- Togo (6.3%)
These countries are all set to grow by more than 5.5% in the next few years, with Rwanda leading the pack with a projected growth rate of 7.9%.
But what’s driving this growth?
Rwanda will lead East Africa’s growth, with projections to rise from 4.2% in 2022 to 5% in 2023 and 5.4% in 2024. Uganda and Ethiopia are also expected to experience robust growth due to the oil sector developments and continued infrastructure spending.
In West Africa, Côte d’Ivoire and Senegal will boost growth, with projections to rise from 3.6% in 2022 to 4.3% in 2024.
Meanwhile, Central Africa’s growth will stabilise at 4.2% in 2024. Mozambique stands out in Southern Africa with investments in liquefied natural gas and allied industries.
These projections show that Africa is the place to invest, with the potential for sustained economic growth. Economist Jeffrey Sachs believes that “Africa can and will rise to a growth of 7% or more per year consistently in the coming decades.”
But what needs to happen for this growth to be sustainable?
Investment in infrastructure, education, and healthcare is essential to create the conditions for Africa’s sustained economic growth. The African Continental Free Trade Area (AfCFTA) is a step in the right direction, with the potential to boost intra-African trade and economic growth.
African countries need to take advantage of this opportunity to build resilient and sustainable economies that can weather future crises.
The projections for positive economic growth in the coming years are just the beginning of what Africa can achieve. With the right policies and investment, the continent has the potential to become a global economic powerhouse. It’s time to invest in Africa’s future!
Africa can and will rise to a growth of 7% or more per year consistently in the coming decades.
At Select Global Solutions, we are helping countries across the continent to hire senior management to enable their growth plans. We can source talent from within Africa or from anywhere in the world, depending on the needs of our clients, the industry and the role.
We are committed to supporting businesses and investors looking to tap into the immense potential of these top-performing economies.
As a global recruitment firm, we understand the importance of investing in these economies and supporting businesses in Africa. Therefore, we encourage businesses and investors to seize this opportunity and explore the vast potential that Africa has to offer.