Audio By Carbonatix
Economic growth in sub-Saharan Africa is slowing sharply, the International Monetary Fund (IMF) has warned.
In its latest African Economic Outlook, the fund forecasts growth in the region of 3.75% this year, the slowest growth in six years.
Next year, the report forecasts growth of 4.25%.
Low oil and commodity prices, together with a slowdown in the Chinese economy, are the main reasons for the overall downturn, the IMF says.
China is the region's largest trading partner and many African countries have benefited hugely from exporting raw materials to the country.
"The strong momentum evident in the region in recent years has dissipated," says the report, titled Dealing with the Gathering Clouds.
"With the possibility that the external environment might turn even less favourable, risks to this outlook remain on the downside."
'Addressing inequalities'
Oil exporters such as Nigeria and Angola are being hit particularly hard by the slump in the oil price, which has fallen by more than 50% since mid-2014 to less than $50 a barrel.
Mineral exporters such as Zambia, Ghana and South Africa are also suffering from lower commodity prices, the report says.
The IMF calls on African governments to adopt policies to lessen the impact of this economic slowdown, such as allowing currency depreciation to help boost exports.
It also urges governments to address income inequalities that are particularly high in the region, as well as gender inequality.
Latest Stories
-
MTN launches Bright Scholars Alumni Network to harness opportunity
1 minute -
Akyem Abuakwa Traditional Council demands apology from Akyemansa DCE over chieftaincy interference
19 minutes -
Ghana Prisons Service on manhunt for 29-year-old escapee
28 minutes -
Researchers warn Ghana’s coastal erosion could worsen
30 minutes -
Algeria claim first-ever podium finish after penalty shootout win over hosts Morocco
2 hours -
NPP struggled even in traditional strongholds in 2024 – Annoh-Dompreh
2 hours -
NPP must elect strong parliamentary candidates to reclaim Greater Accra seats – Patrick Boamah
2 hours -
Abdul Rahman retains Upper West NPP chairmanship despite Nandom protest
2 hours -
Iddrisu Sulemana edges Clifford Braimah to become NPP Savannah Regional Chairman
2 hours -
‘Arrogance of power’ is driving voters back to NPP in Ashanti Region – Paul Adom-Otchere
3 hours -
They demolish buildings and tell us they’re building 24-hour markets – Paul Adom-Otchere
3 hours -
NPP’s 2024 Bolgatanga Central Parliamentary Candidate elected Upper East Regional Chairman
3 hours -
Incumbent Northern NPP Chair wins as new faces break through in party executive elections
3 hours -
Former Health Minister Okoe Boye elected NPP Greater Accra Regional Chair
3 hours -
Joseph Kobinah Esibu elected NPP Central Regional Chairman
3 hours