Despite global economic uncertainty and the ongoing effects of the COVID-19 epidemic, African economies are exhibiting amazing resilience and promise for sustained development. This positive economic outlook is critical not only for the continent but also for the global economy. Expressed as real GDP growth, some African economies are projected to be very healthy during the year.
- Business Insider Africa presents the top 10 African countries with the healthiest economy in 2024.
- This list is courtesy of a report by the African Development Bank.
- Senegal ranks number 1 on the list.
Several factors contribute to Africa's positive economic outlook. According to the African Development Bank (AfDB), African economies are predicted to rebound from the economic shocks stifling growth. The continent is also set to be the second fastest growing, second only to Asia.
This is according to the Bank’s latest economic outlook titled Driving Africa’s Transformation: The Reform of the Global Financial Architecture.
“The African Economic Outlook 2024 is being published as African countries contend with significant structural challenges and multiple severe shocks, including heightened food and energy prices driven by geopolitical tensions such as Russia's invasion of Ukraine, climate issues affecting agriculture and energy production, and persistent political instability.
This challenging environment has led to a slowdown in Africa's real GDP growth, which dropped to 3.1 percent in 2023 from 4.1 percent in 2022,” the report reveals.
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“Looking forward, however, the economic outlook is more positive, with growth expected to increase to 3.7 percent in 2024 and 4.3 percent in 2025, highlighting the strong resilience of African economies. This growth rebound will be underpinned by expected improvements in global economic conditions and effective policy measures,” it adds.
With that said, below are the 10 African countries with the highest real GDP growth 2024.
Real GDP growth is a key indicator of economic success because it represents the rise in the value of goods and services generated in an economy after accounting for inflation.
Economic diversification, demographic trends, and governmental changes are all contributing to Africa's optimistic real GDP growth projections, which as mentioned earlier is second only to Asia.
According to theInternational Monetary Fund, "the growth rate of real GDP is often used as an indicator of the general health of the economy."
