Africa’s economic growth is projected to accelerate to 3.8% in 2025 and 4.1% in 2026, according to a United Nations Economic Commission for Africa (UNECA) report released Wednesday.
The report, presented at the 57th session of the Economic Commission for Africa: Conference of African Ministers of Finance, Planning and Economic Development in Addis Ababa, Ethiopia, indicates a rebound from recent slower growth.
However, Zuzana Schwidrowski, UNECA’s director of macroeconomics, finance and governance division, cautioned that the projected growth is still insufficient to significantly advance social development across the continent.
The report highlights persistent risks to Africa’s economic outlook, including global economic uncertainty, geopolitical tensions, declining aid flows, and increasing global fragmentation.
While intra-African trade is becoming more dynamic in certain sub-regions, the overall contribution of trade to the continent’s growth remains below historical levels, Schwidrowski noted.
Africa remains the second-fastest-growing region globally, with inflationary pressures easing. However, extreme poverty, while declining in line with global trends, remains a significant challenge across most of the continent, except for North Africa, the report indicated.
Climate change poses an ongoing threat to Africa’s development, with rising temperatures expected to negatively impact agricultural yields and exacerbate food insecurity in vulnerable regions.
