Africa Economy IMF In Focus

IMF Predicts 4.4% Decline in Growth; Sub-Saharan Africa To Fall by 3%

World Economic Outlook Growth Projection October 2020

The International Monetary Fund (IMF) predicts a 4.4% decline in growth in 2020 as the global economy struggles to recover from the pandemic-induced recession and experiences its worst collapse in nearly a century.

By comparison, the international economy contracted by a far smaller 0.1% after the devastating financial crisis of 2008. The IMF’s forecast for 2020 in its latest World Economic Outlook represents an upgrade of a 0.8% point from its previous forecast in June.

But Hope is Not Lost

The 189-nation lending agency relayed that emerging and developing countries are doing somewhat better than developed nations as is the case with Sub-Saharan African states, whose growth is estimated to fall by 3% this year, with a return to growth of more than 3% currently forecast for 2021.

According to this projection, some countries could show growth, such as Botswana, Côte d’Ivoire, Ethiopia, Ghana, Guinea, Kenya and Tanzania. On the other hand, Nigeria could lose 4 points on its growth and South Africa could register a decline of 8%.

For further coverage in IMF

ECLAC predicts Economic Contraction for Latin America & the Caribbean Similar to Great Depression(Opens in a new browser tab)

IMF Sees Debt Soaring, Stabilising at 100pc of GDP if Growth Resumes(Opens in a new browser tab)

READ  Interest Rate Reductions Could Play A Big Role In Some Poor-country Debt Restructurings

For more articles on sustainability and social engagement in the Caribbean, read our latest issue of ApaNa Magazine.

ApaNa Magazine Issue 5 – OECS Celebrates 40 Years

Caribbean nonprofits need exposure. We invite you to support us in promoting nonprofit organisations and sustainability issues in the Caribbean.  Please click here for more information.

Experienced International Development Consultants for the Caribbean
Bangladesh is set to surpass India in terms of per…