East African economies are set to enjoy sustained economic growth with a rise in the gross domestic product (GDP) and export revenues, analysts at Ecobank have predicted.
Ecobank Kenya Managing Director and Regional Executive of Central, Eastern and Southern African (Cesa) Samuel Adjei said the region looks set for continued and sustained economic growth, assisted by commodity prices and the prospect of significant oil production.
Ethiopia, Kenya, Tanzania and Uganda are enjoying a period of significant economic growth with their GDPs forecast to grow between 5.2 per cent and 8.5 per cent this year.
The region’s tech hubs are also spurring the next generation of disruptors.
“The region is a world leader in disruptive fintech, illustrated by the resounding success of mobile money and Kenya, together with Rwanda, Tanzania and Uganda, represent a regional powerhouse for global commercial services,” said Mr Adjei.
Ecobank head of group research Edward George said the countries in East Africa make up one of the most dynamic commercial and economic regions in Africa.
“Consumers in countries such as Kenya have been transacting by mobile for more than a decade and we are now seeing East African tech hubs in Nairobi, Kigali and Kampala take a leadership role in developing innovations to address long-standing African challenges. It’s an exciting time for East Africa,” he said Mr George.
This is supported by ongoing reforms and the improvement in commodity prices which has driven up export revenues.
Much of the region is reliant on agricultural crops and commodities for export earnings, but continued economic optimism looks assured.
They said the combined effects of further export diversification, improvements in infrastructure, industrialisation, major oil discoveries, and the potential for significant growth in commercial services, look set to turbocharge their economies.
Have your say
More Business Headlines
- Kasapreko, Tetra Pak launch new automated carton aseptic juice line
- MASLOC boss grabs multiple awards
- Mobile Network Operators challenge NCA fine
- The greed factor in investment decisions
- Societe Generale sells South African unit to ABSA
- NPA denies allegations of ‘reckless victimisation’ of local LPG operators
- Mobile telephony: State-operator relations - A land to clear
- Bill Gates: The best investment I’ve ever made
- Mining leases without ratification: ‘Prosecute’ past ministers – Dr Manteaw
- Vodafone tops nominations for IPR's 7th National Communication & PR Awards
- Key African Central Banks to hold rates on CPI, oil prices
- China's growth set to slow to 6.3% in 2019
- GRA to introduce new measure to control transit trading
- Moody’s lauds banking sector reforms
- Tullow targets drilling, completion of works on new wells in this year