Africa’s economic prospects this year are positive despite a recent slowdown in growth, the World Bank said in a report.
In its latest Africa Pulse report, a biennial analysis, it says economic growth was seen extending to 2.6% this year and a further to 3.2% in 2018 and 3.5% the year after. It says growth will be driven by commodity prices, an uptick in the global economy and improvements in the domestic market.
It says the slowdown in 2016 was the worst in decades and attributed it to poor performances in Nigeria, South Africa and Angola.
“This low growth rate was driven mainly by unfavourable external developments, with commodity prices remaining low, and difficult domestic conditions,” the report said.
Angola’s growth was dragged by a fall in oil production while South Africa’s economic expansion slowed to 0.3% due to contractions in the mining and manufacturing industries and the effects of drought on agriculture.
“Excluding these three countries, growth in the region was estimated to be 4.1% in 2016,” the report said.
Angola’s growth was dragged by a fall in oil production.
Author: Staff Writer