Imf predicts 3 4 economic growth sub saharan africa 2018

According to the International Monetary Fund (IMF), the economic growth forecast for Sub-Saharan Africa in 2018 was 3.4%. This is based on the IMF's Regional Economic Outlook (REO) for Sub-Saharan Africa, which was published in October 2017.

Here is a breakdown of the IMF's growth forecast for Sub-Saharan Africa in 2018:

The IMF's growth forecast for Sub-Saharan Africa in 2018 was slightly higher than the 3.1% growth rate recorded in 2017. The growth outlook was driven by a recovery in commodity prices, improved agricultural production, and a rebound in investment.

However, the IMF also noted that the growth outlook for Sub-Saharan Africa remained vulnerable to external shocks, including a potential rise in global interest rates, a decline in commodity prices, and a slowdown in global trade.

Here are some of the key drivers of growth in Sub-Saharan Africa in 2018, according to the IMF:

  1. Commodity prices: A recovery in commodity prices, particularly for oil, gold, and copper, boosted the growth outlook for oil-producing countries in the region.
  2. Agricultural production: Improved agricultural production, driven by favorable weather conditions and investments in agriculture, supported growth in several countries, including Nigeria and Ethiopia.
  3. Investment: A rebound in investment, driven by improved business confidence and increased public investment, supported growth in several countries, including South Africa and Kenya.
  4. Domestic demand: Strong domestic demand, driven by consumer spending and government consumption, supported growth in several countries, including Ghana and Tanzania.

Despite these positive trends, the IMF also highlighted several challenges facing Sub-Saharan Africa, including:

  1. Inequality: The region remains one of the most unequal in the world, with a significant gap between the rich and the poor.
  2. Infrastructure: The region's infrastructure, including roads, ports, and energy systems, remains inadequate, which can hinder economic growth and development.
  3. Corruption: Corruption remains a significant challenge in many countries in the region, which can undermine economic growth and development.
  4. Climate change: Climate change poses a significant threat to the region's economic growth and development, particularly for countries that are heavily dependent on agriculture and natural resources.

Overall, the IMF's growth forecast for Sub-Saharan Africa in 2018 was positive, but the region still faces significant challenges that need to be addressed to achieve sustainable and inclusive economic growth.