Chinedu Okafor<\/b><\/p>\n
Africa-Press – Mozambique. <\/strong><\/span>Africa\u2019s economic future after suffering a heavy toll during the 2020 Covid-19 pandemic, is set to pick up steam. A recent report by the International Monetary Fund shows that its economic projection for the next two years is on an upward trajectory. In retrospect, sub-Saharan Africa is poised to become a formidable player in the global economy.<\/p>\n According to the IMF\u2019s recently released World Economic Update for January 2024, Global growth is expected to reach 3.1% in 2024 and 3.2% in 2025. The 2024 prediction is 0.2 percentage points higher than the October 2023 World Economic Outlook (WEO).<\/p>\n \u201cThe global economic recovery from the COVID-19 pandemic, Russia\u2019s invasion of Ukraine, and the cost-of-living crisis is proving surprisingly resilient,\u201d the IMF disclosed.<\/p>\n In Africa\u2019s case, the fund notes that \u201cgrowth is projected to rise from an estimated 3.3 percent in 2023 to 3.8 percent in 2024 and 4.1 percent in 2025,\u201d in Sub-Sahara Africa.<\/p>\n This positive momentum is attributed to the waning impact of previous weather shocks and a gradual improvement in supply chain challenges.<\/p>\n Simply put, the primary driver behind Africa’s economic resurgence is the resilience and adaptability of its nations in overcoming adverse climatic conditions.<\/p>\n For the world\u2019s economic recovery, the IMF stated in its report; \u201cwith disinflation and steady growth, the likelihood of a hard landing has receded, and risks to global growth are broadly balanced. On the upside, faster disinflation could lead to further easing of financial conditions. Looser fiscal policy than necessary and than assumed in the projections could imply temporarily higher growth but at the risk of a more costly adjustment later on. Stronger structural reform momentum could bolster productivity with positive cross-border spillovers.\u201d<\/p>\n The Fund also gave insight into the possible downside stating that price hikes and pirate activities may hamper trade and thereby affect the global economy.<\/p>\n \u201cOn the downside, new commodity price spikes from geopolitical shocks\u2013\u2013including continued attacks in the Red Sea\u2013\u2013and supply disruptions or more persistent underlying inflation could prolong tight monetary conditions. Deepening property sector woes in China or, elsewhere, a disruptive turn to tax hikes and spending cuts could also cause growth disappointments,\u201d the report adds.<\/p>\n africa businessinsider<\/b><\/p>\n For More News And Analysis About Mozambique<\/a> Follow Africa-Press<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":" Chinedu Okafor Africa-Press – Mozambique. Africa\u2019s economic future after suffering a heavy toll during the 2020 Covid-19 pandemic, is set to pick up steam. A recent report by the International Monetary Fund shows that its economic projection for the next two years is on an upward trajectory. In retrospect, sub-Saharan Africa is poised to become […]<\/p>\n","protected":false},"author":84,"featured_media":55169,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2,6],"tags":[233,281,283],"class_list":["post-55170","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-all-news","category-files","tag-africa-press","tag-africa-press-mozambique","tag-mozambique"],"yoast_head":"\n