AfDB Downgrades Growth Prospects Citing Global Tailwinds

(3 Minutes Read)

Twenty-one African countries are still expected to experience economic growth of more than 5 per cent this year, a resilience that the bank attributes to effective domestic reforms, relative diversification, and improved macroeconomic management over the last decade.

The African Development Bank (AfDB) has downgraded Africa’s growth forecast for the next two years, citing unprecedented global circumstances and “seismic shifts in the trade policies of major economies.”

Significant aid cuts will also hit low-income countries on the continent, the African Economic Outlook report warned. Overall, the bank is projecting growth of 3.9 per cent for 2025 and 4 per cent for 2026—a 0.2 percentage point and 0.4 percentage point downgrade, respectively.

 Twenty-one African countries are still expected to experience economic growth of more than 5 per cent this year, a resilience that the bank attributes to effective domestic reforms, relative diversification, and improved macroeconomic management over the last decade.

Read Also:

https://trendsnafrica.com/afdb-to-elect-a-new-president-as-adesinas-term-ends-in-august-2025/

The AfDB urged member countries to continue to realise their development potential through strategic investments, policy support, and innovative financing mechanisms.