“Africa will account for 11 out of the 20 fastest-growing economies in the world in 2024,” said the President of the African Development Bank Group, Dr Akinwumi Adesina.
In a remarkable turn of events, Africa has defied various odds to become the world's second-fastest-growing region economically. Despite grappling with challenges such as climate change, geopolitical tensions, rising inflation, food insecurity, and increasing debt, Africa's economies continue to outpace the global average of 3% growth.
Dr. Akinwumi Adesina, President of the African Development Bank Group, shared encouraging insights during the Bank’s annual luncheon for ambassadors and diplomatic missions in Abidjan, Cote d’Ivoire. According to Adesina, Africa is expected to witness remarkable economic growth, with 11 out of the 20 fastest-growing economies worldwide projected to be on the continent in 2024. Furthermore, 15 African countries have already posted output expansions exceeding 5%.
The unveiling of the African Macroeconomic Performance and Outlook Report for 2024 at the recent African Union Summit in Addis Ababa highlighted Africa's resilience and projected growth trajectory. Despite global challenges, Africa is forecasted to remain the fastest-growing region, second only to Asia, surpassing the global average of 3% growth in 2023.
Adesina emphasized the African Development Bank's commitment to bolstering economic resilience and supporting countries in navigating external shocks and changes. He highlighted the Bank's efforts to address economic challenges exacerbated by factors like climate shocks and global interest rate fluctuations.
The luncheon marked the resumption of diplomatic engagements after nearly five years, disrupted by the COVID-19 pandemic. It also commemorated significant milestones, including the African Development Bank's historic capital increase from $93 billion to $208 billion, the largest in its history.
Adesina noted substantial contributions to the 16th replenishment of the African Development Fund, receiving a record $8.9 billion from donor countries. This influx of funds will empower the Fund to extend support to low-income countries, fostering sustainable economic development.
Under Adesina's leadership, the Bank's investments in Cote D’Ivoire have soared, reflecting a five-fold increase from $460 million in 2015 to $3.1 billion in 2023. Initiatives like the African Emergency Food Production Facility and the Feed Africa Summit underscore the Bank's commitment to addressing climate change and promoting agricultural innovation.
The Bank's focus extends beyond economic growth to healthcare infrastructure and pharmaceutical advancements. With plans to invest $3 billion in health infrastructure over the next decade, the Bank aims to enhance healthcare access and bolster Africa's pharmaceutical industry.
Moreover, the establishment of the African Pharmaceutical Technology Foundation reflects the Bank's commitment to bolstering medicine and vaccine manufacturing capabilities on the continent.
Adesina also highlighted the Bank's financial innovations, including the issuance of the first-ever hybrid capital on the capital market, underscoring its global leadership in financial initiatives.
With the approval of 159 operations worth $10 billion last year, the Bank continues to impact the lives of millions across the continent. Over the past seven years, the Bank's operations have directly benefited 400 million people, with significant investments in infrastructure development, totaling over $44 billion.
The luncheon concluded with Mauricio Rueda Beltz, Apostolic Nuncio in Cote d’Ivoire, and the dean of the diplomatic corps, commending the African Development Bank's commitment to reforms and sustainable development.
As Africa embraces growth and prosperity, the African Development Bank remains steadfast in its mission to drive inclusive and sustainable economic development across the continent.