IMF concerned about the possible outbreak of third wave of the Pandemic in SSA

• In a recently published report titled ‘Sub-Saharan Africa: We Need to Act Now’ IMF has reported that, the level of increase in infections in the third wave of the disease in Sub-Saharan Africa (SSA) is faster than anywhere else in the world and cause for worry.
•  Analysts are of the view that IMF’s concern is not misplaced as the vaccine rollout in SSA is estimated to be less than 5 per cent of the total population according to the World Bank.

In a recently published report titled ‘Sub-Saharan Africa: We Need to Act Now’ IMF has reported that, the level of increase in infections in the third wave of the disease in Sub-Saharan Africa (SSA) is faster than anywhere else in the world and cause for worry. Analysts are of the view that IMF’s concern is not misplaced as the vaccine rollout in SSA is estimated to be less than 5 per cent of the total population according to the World Bank. IMF has requested the support of other multilateral organisations and Advanced Economies (AEs) to support SSA countries in vaccinating about 30% of their population (through support with funds or giving out vaccine from their stockpile) in 2021.According to sources, less than one adult in every 100 is fully vaccinated in SSA compared to an average of over 30 in every 100 in more advanced economies.

The International Monetary Fund (IMF) says that this could significantly affect the pace of economic recovery of countries like Nigeria if adequate measures are not taken. Nigeria being the largest economy in SSA, its economic performance is bound to impact   the overall economic growth of SSA.

.According to estimates only0.8% of Nigeria’s estimated current population of 208m has received both the vaccination which is worrisome given the fast spread of the new Delta variant that has spread to 96 countries in the last three months. Meanwhile, Nigeria has been excluded by World Bank from the list of 51 Low Income Countries (LIC) it would be assisting with a fresh $4.4bn for the purchase and deployment of vaccines. The Federal Government of Nigeria may not have the capacity to support state-funded mass vaccination which means that Nigeria has no other option but to be aggressive in preventing the Delta variant from entering the country. Adopting strict measures such as banning flights from red zones and limiting social activities  analysts say may cause Nigeria’s economic recovery  to drag by about 0.5% while letting  a third wave of the pandemic may take the country back into a recession in the coming quarters .