Africa continues to demonstrate remarkable economic resilience despite global headwinds, according to the African Development Bank (AfDB) Macroeconomic Performance and Outlook 2026 (MEO) report, presented on 30 March in Abidjan.
The AfDB’s MEO 2026 report indicates that the continent’s real GDP grew by 4.2 percent in 2025, compared to 3.1 percent in 2024, exceeding the global average. Growth surpassed five percent in 22 African countries and seven percent in six, driven by easing inflation, a favourable agricultural environment, and improved macroeconomic
management.
The AfDB forecasts stabilisation at 4.3 percent in 2026 and 4.5 percent in 2027.
East Africa remains the most dynamic region, with GDP growth of 6.4 percent, driven by Ethiopia (9.8 percent), Rwanda (7.5 percent) and Uganda (6.4 percent).
Average inflation fell to 13.6 percent in 2025, down from 21.8 percent in 2024, and is expected to continue declining.
Foreign direct investment rebounded strongly, reaching $97 billion, while remittances increased to $104.6 billion, becoming the largest source of non-debt external financing.
AfDB president Sidi Ould Tah emphasised that the continent is going through “a crucial moment,” facing global geopolitical and financial risks, particularly those related to the crisis in the Middle East.
According to Kevin Urama, the Bank’s chief economist, the impact of this crisis on African growth in 2026 would be limited, with a potential decline of 0.2 percentage points if the crisis were to last longer than three months.
During a roundtable discussion with African experts and ministers, emphasis was placed on the need to strengthen domestic resource mobilisation, regional integration and the digitalisation of tax administrations to support growth and bolster the continent’s economic resilience.
The MEO report, published semi-annually by the AfDB, provides African countries and their partners with reliable and actionable macroeconomic analyses to guide development planning and policies.
TE/Sf/fss/jn/APA