The continent's economy is expected to grow by 4% in 2024, announced the Chief Economist and Vice President in charge of Economic Governance and Knowledge Management at the African Development Bank (AfDB) group, Kevin Urama.
"We forecast a growth of around 4% for the continent in 2024, which is much higher than the global average. More than 15 countries will achieve a growth rate higher than 5%," said Kevin Urama, describing these figures as impressive, given all the shocks the continent is facing.
However, the economist warns that demographic growth poses a significant challenge, as, in his view, demographic growth not accompanied by economic growth leads to persistent poverty.
"Despite sustained economic growth over the past two decades, Africa's economic transformation remains incomplete. Therefore, the knowledge events will explore the best way to accelerate structural transformation across the continent. These events will also address the importance of a reconfigured global financial architecture as a driver of structural transformation," said the AfDB's Secretary-General, Vincent Nmehielle.
Amidst the backdrop of global economic uncertainties, Africa's resilience is notably underscored by its ability to sustain economic growth despite various challenges. The continent, characterized by its dynamic markets and rapidly growing population, is at a pivotal point where strategic interventions could significantly influence its developmental trajectory.
Kevin Urama emphasizes the importance of harnessing the continent's economic growth for sustainable development. "The growth we are witnessing should not just be in numbers. It needs to translate into real improvements in the living standards of the people across Africa," he stated.
This perspective aligns with the broader objectives of the AfDB, which include poverty reduction, infrastructure development, and increased access to education and healthcare.
The Secretary General of AfDB Vincent Nmehielle highlighted the need for innovation and investment in key sectors such as technology, agriculture, and renewable energy to foster a more inclusive and sustainable economic growth model. "Investing in digital infrastructure, for example, can provide a leapfrogging opportunity for Africa, enabling the continent to overcome traditional barriers to development and integrate more fully into the global economy," he explained.
Furthermore, the role of international cooperation and investment was underscored. Africa's growing economy presents an attractive landscape for foreign investors, but there is a call for investments that align with the continent's sustainable development goals. "We need to ensure that foreign investments are not just extractive but are also contributing to building resilient economies across the continent," Nmehielle added.
While Africa's economic outlook for 2024 is promising, the emphasis is on ensuring that this growth is inclusive, sustainable, and capable of transforming the socio-economic landscape of the continent. The African Development Bank's focus on structural transformation and a reconfigured global financial architecture aims to build a foundation for a prosperous and resilient African economy for the future.
