The report stated: “Growth in Sub-Saharan Africa (SSA) weakened to 3.0 per cent in 2023. Growth in the region’s largest three economies—Nigeria, South Africa, Angola—remained weak. In early 2024, private sector activity picked up, buoyed by a strengthening global economy.
Despite macroeconomic revisions, the World Bank yesterday maintained its 3.3% economic growth prediction for Nigeria in 2024, stating that the country’s economy remained moderately strong in the early going.
But from a forecast of 3.7 percent in January, the World Bank reduced its estimate of Nigeria’s economic growth to 3.5 percent in 2025.
Similarly, the World Bank revised down its January estimate of 3.8% growth in Sub-Saharan economic growth to 3.0% in 2024.
The report stated: “Growth in Sub-Saharan Africa (SSA) weakened to 3.0 per cent in 2023. Growth in the region’s largest three economies—Nigeria, South Africa, Angola—remained weak. In early 2024, private sector activity picked up, buoyed by a strengthening global economy.
At the same time, many economies in the region continue to struggle with weak government balance sheets, stemming partly from low revenue collection and high debt-service costs, while some also need to manage the adverse effects of currency depreciations. In Nigeria, growth slowed to 2.9 per cent in 2023. Despite ongoing macroeconomic adjustments, the economy was mildly buoyant in early 2024.
Growth in SSA is projected to pick up from 3.0 percent in 2023 to 3.5 percent in 2024 and about 4 percent annually in 2025-26, as fading inflationary pressures allow for interest rate cuts, which will support private consumption and investment.
Growth in the region’s largest three economies is expected to accelerate from 1.8 percent in 2023 to 2.4 percent in 2024 and an average of 2.6 percent in 2025-26. Yet, this is markedly below the region’s average growth. Non-resource-rich economies are forecast to maintain growth above their historical average rate, while resource-rich economies recover from their slow growth in 2023 that mainly reflected declining metal prices.