Top 5 economies in Sub-Saharan Africa to watch in 2023, according to IMF

Just as African economies appeared to be recovering from the COVID-19 pandemic, a range of internal and external shocks struck, including bad weather and Russia’s invasion of Ukraine. All of this exacerbated already rapidly rising inflation and borrowing costs. 2022.

Direct trade and financial links between Africa and Africa Russia and Ukraine There is evidence, albeit on a smaller scale, of how the war damaged the economies of the African continent through higher commodity prices, higher food and fuel prices, and higher headline inflation.

Despite these challenges, Africa remains the home of some of the fastest growing economies in the world.

According to the International Monetary Fund, the IMF’s recent world economic outlookfive of the fastest growing economies in the world Angola, Ethiopia, Nigeria, Kenya, South Africa, Business Insider Africa reported.

The economy could quadruple in size, with growth expected to reach 3.6% in 2023 and 3.9% in 2024.

1. Angola – Angola is set to reclaim its position as the third largest economy in sub-Saharan Africa as growth recovers with higher oil prices. Angola is her second largest oil producer on the continent, after Nigeria, and is also an important producer of rough diamonds. The IMF expects Angola’s GDP to expand by 8.6% this year to reach $135 billion. This is a significant increase from the previous year and Angola’s economy could continue to grow in the coming years.

2. Ethiopia – Ethiopia is set to replace Kenya as the fourth largest economy in sub-Saharan Africa, according to the IMF. This is due to the easing of domestic armed conflict and the continuation of ambitious economic reform efforts aimed at opening up one of Africa’s fastest growing but most closed economies.of IMF Ethiopia forecast GDP It will reach $126.2 billion this year, expanding 13.5%. This is an impressive figure and Ethiopia’s economy will continue to grow.

3. Nigeria – Nigeria, the largest economy on the African continent, maintains the top spot in sub-Saharan Africa’s economic rankings. The IMF predicts that: GDP of Nigeria It is expected to reach $574 billion this year. This is an impressive figure and the Nigerian economy will continue to grow.

4. South Africa – The IMF expects South Africa to maintain its position as the second largest economy in sub-Saharan Africa, with a GDP of $422 billion this year. This is an impressive number and the South African economy will continue to grow.

5. Kenya – According to the IMF, Kenya’s GDP is expected to slow by 2.4% this year due to the aftermath of the Covid-19 pandemic, drought, electoral turmoil and disruptions to global supply chains. The IMF predicts that: GDP of Kenya It is expected to reach $117.6 billion this year, after Angola and Ethiopia. Despite slowing growth, Kenya’s economy is still one of the region’s most notable economies.