Growth in sub-Saharan Africa remains weak, and is expected to slow to 3.6% in 2023, due to a “severe shortage of financing”, according to a statement from the International Monetary Fund. For the IMF, the countries of sub-Saharan Africa risk being forced to reduce the budgets devoted to essential services, such as health, education or infrastructure, which would slow down the economic development of this region.
Abebe Aemro Selassie, director of the IMF’s African department, spoke regarding this during a press conference on Thursday: ” I think priority is given to policies aimed at building the resilience of economies. In many countries, for example, raising more domestic revenue is a major challenge. This problem must be tackled since it is the main challenge. Then, I think it is also important to consider a policy to insulate national economies from the external environment. Thus, the adjustment of exchange rates, the recalibration of interest rates and the reduction of inflation will have to be considered to deal with this unfavorable external environment. »
The IMF has provided the countries concerned with around $50 billion in financing since the start of the pandemic and will continue to work with the region to put in place the right policies, adapted to the needs of each country.
