The International Monetary Fund has released its regular assessment of the World Economic Outlook which forecasts global growth of 3.3% this year and 3.6% in 2020.
It however forecast that growth in sub-Saharan Africa, will rise to 3.5 percent in 2019 and 3.7 percent in 2020 (from 3.0 percent in 2018).
The latest projection is 0.3 percentage point and 0.2 percentage point lower for 2019 and 2020, respectively, than in the October 2018 World Economic Outlook.
The region’s growth was earlier projected to reach 3.4 percent due to policy uncertainty and improved investment in large economies.
Below is growth projection for the some African countries
Top 3 performers:
According to the latest report Ghana will be the fastest growing economy in the Sub Region.
The report is basing its growth projections for Ghana on a number of factors including a rise in commodity prices as well as the 1.5 billion dollar roads initiatives under the 2 billion dollar Synohydro Master Project.
The agreement would be officially launched by Ghana’ President Nana Akuffo-Addo. Ghana’s projection comes barely a week after the World Bank also revised its growth forecast for Ghana to 7.6 percent higher than Governments own projection.
Ivory Coast’s growth according to the report is expected to come from a myriad of areas in addition to latest measures to restructure the national oil refinery and advancing in the restructuring of public banks.
The other factor also stems from the West African country’s expected performance and in flows from the cocoa sector as the global leader in the production of the commodity.
The World Economic Outlook report suggests Ethiopia’s growth projection is based on recent rapid changes to its once tightly regulated political and economic space especially ahead of the general election next year.
Another factor is the announcement of plans to open up state owned industries from telecommunication power and sugar to foreign investors.
On the other hand the three biggest economies in Sub Saharan Africa namely Nigeria, South Africa and Angola are expected to experience the lowest growth this year.
For instance growth in South Africa is expected to marginally improve from 0.8 percent in 2018 to 1.2 percent in 2019 and 1.5 percent in 2020, a 0.2 percentage point downward revision for both years relative to the October projections.
The projected recovery reflects modestly reduced but continued policy uncertainty in the South African economy after the May 2019 elections.