African Economic Outlook 2025-Africa's short-term outlook resilient despite global economic and political headwinds African Economic Outlook 2025-Africa's short-term outlook resilient despite global economic and political headwinds

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African Economic Outlook 2025-Africa's short-term outlook resilient despite global economic and political headwinds

May 27, 2025--With the right policies, Africa has the potential to mobilize an additional $1.43 trillion in domestic resources from both tax and non-tax revenue sources, and curbing leakages.
Africa's economy is projected to increase from 3.3 percent growth in 2024 to 3.9 percent in 2025, reaching 4 percent in 2026, despite mounting geopolitical uncertainties and trade tensions, the African Development Bank Group said Tuesday in its flagship 2025 African Economic Outlook report. .

Despite the prevailing domestic and external challenges Africa continues to demonstrate notable resilience. The report, titled "Making Africa’s Capital Work Better for Africa's Development", was released during the Bank Group's 2025 Annual Meetings, taking place in Abidjan, Côte d'Ivoire. It demonstrates the continent's capacity to weather multiple shocks while identifying pathways to unlock a vast potential for transformation.

Strong growth outlook despite global headwinds

The report presents encouraging projections despite significant challenges:

21 African countries will achieve growth exceeding 5 percent in 2025, with four countries-Ethiopia, Niger, Rwanda, and Senegal-potentially reaching the critical 7 percent threshold required for poverty reduction and inclusive growth.

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Source: citywire.com


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