Africa Development Bank, AfDB, has said Africa’s growth will hit 3.7 per cent by the end of 2016 and hit 4.5 per cent in 2017.
AfDB in its African Economic Outlook 2016 released on Monday, May 23, said the continent’s economic performance held firm in 2015 amid global headwinds and regional shocks, sustaining its position as the second fastest growing economic region after East Asia.
According to the report’s prudent forecast, the continent’s average growth is expected at 3.7 per cent in 2016 and pick up to 4.5 per cent in 2017, provided the world economy strengthens and commodity prices gradually recover.
AfDB in the report said net financial flows to Africa in 2015 were estimated at $208 billion, 1.8 per cent lower than in 2014 due to a contraction in investment. At $56 billion in 2015, however, official development assistance increased by four per cent and remittances remain the most stable and important single source of external finance at $64 billion in 2015.
“African countries, which include top worldwide growth champions, have shown remarkable resilience in the face of global economic adversity. Turning Africa’s steady resilience into better lives for Africans requires strong policy action to promote faster and more inclusive growth,” stated Abebe Shimeles, Acting Director, Development Research Department, at the African Development Bank.
