Africa to end 2024 on economic upswing – EIU

Africa is ending 2024 on an economic upswing as many economies and key sectors continue to rally, the Economist Intelligence Unit (EIU) has revealed.

According to the UK-based firm, economic imbalances show signs of improving, and the worst of the region’s sovereign debt pressures appear to be over.

Ghana’s economy is expected to expand by 4.0% in 2024.

The EIU said the external debt and servicing burdens are however still high, but the larger and most exposed markets have sought and secured additional assistance or restructuring deals.

“However, the economic performance varies considerably across the continent, as disruptive regional rivalries and lingering social issues remain a cause for concern, and intense global geopolitics will create a difficult backdrop and present tough decisions for African governments. Undoubtedly, the region will once again prove fairly attractive, dynamic, unstable and volatile in 2025”, it mentioned in its Africa 2025 Outlook report released on December 12, 2024.

Meanwhile, EIU says, Africa will be home to most of the world’s fastest-growing economies in 2025.

Three-quarters of the world’s top 20 pace setters will be found in Africa and all but 10 African states will post faster growth compared with 2024.

The key drivers will be thriving international trade and solidifying intra-regional trade, upbeat services sectors and expanding industry.

Source: Joy Business News