Alassane Ouattara’s Economic Gambit: Can Ivory Coast’s Growth Outpace Political Fragility?
Abidjan, Côte d’Ivoire – Thursday, May 8, 2025 (APA) – Under the leadership of Alassane Ouattara, the Ivorian economy has displayed remarkable resilience. Fueled by consistent growth, relative political stability, and a burgeoning private sector, the nation has navigated multifaceted shocks over the past decade, undergoing significant reforms that have reshaped the economic landscape of West Africa.
In a Francophone Africa often marked by political uncertainty and economic slowdowns, Côte d’Ivoire continues to chart its own distinct course. The latest ranking of the 500 top-performing African companies by Jeune Afrique places Abidjan as home to 30 of the continent’s leading enterprises.
This economic prominence is the result of a strategic vision pursued for over a decade. When Alassane Ouattara, a former IMF executive, assumed power in 2011, he inherited a nation deeply fractured by a decade of political and military tensions. However, growth swiftly resumed in the ensuing years, averaging an impressive 8.2 percent annually between 2012 and 2019. Even amidst recent global disruptions such as the Covid-19 pandemic and the war in Ukraine, the economy has maintained a robust growth rate of around 6.5 percent per year between 2021 and 2023.
Projections for 2025 remain optimistic, with a 7 percent growth rate anticipated. This positive outlook has been acknowledged by international credit rating agencies. In March 2024, Moody’s upgraded Côte d’Ivoire’s sovereign rating to Ba2, citing the “robustness of its economic institutions,” while in January 2025, Fitch Ratings affirmed the country’s rating at BB- with a stable outlook. Adding to this financial confidence, Ivory Coast recently became the first African nation to issue an international bond denominated in its local currency after raising $1.75 billion through a Eurobond issue in March.
Beyond macro indicators: The rise of a dynamic private sector
While macroeconomic indicators paint a positive picture, the true symbol of Ivory Coast’s economic evolution lies in the ascendance of a multifaceted private sector. Locally rooted yet increasingly aligned with international standards, these enterprises are driving the nation’s economic dynamism.
Leading the pack of 30 Ivorian companies featured in the Jeune Afrique ranking is the Société ivoirienne de raffinage (SIR), boasting revenues of $4.3 billion, propelled by increased processing capacity and growing regional exports. Following closely are well-established groups such as Orange Côte d’Ivoire, MTN, SIFCA, Cemoi, and the industrial mines Yaoure Gold Mine (Perseus) and ITY (Endeavour Mining), showcasing the diversity of entrepreneurial capital within the country.
Crucially, the Ivorian government has adopted a catalytic role rather than attempting to control all aspects of the economy. Over 80 percent of these thriving companies are privately owned, with either national or mixed capital. This success is underpinned by the government’s proactive reforms over the past decade, which have modernized the legal framework for business, streamlined tax administration, implemented sector-specific incentives, and expanded the number of equipped industrial zones across the country.
Industrialization through local processing: A strategic imperative
This strategic embrace of the private sector is part of a broader industrialization strategy focused on local processing, particularly within the crucial agricultural sectors. As early as 2015, President Ouattara emphasized the importance of private sector investment in transforming raw materials into finished goods, particularly urging the cocoa industry to move towards chocolate production. A decade later, Ivory Coast now processes around 40 percent of its annual cocoa production locally, a significant increase from 25 percent in 2015, with the ambitious goal of reaching 100 percent by 2030. Currently, 14 factories process approximately 800,000 tonnes of cocoa annually, with three new processing plants slated to open in early 2025. This strategy is being extended to other key sectors, including cashew, mango, rubber, rice, and food crops, with the aim of promoting local production, creating rural employment, and reducing reliance on often volatile foreign markets through public-private partnerships.
Furthermore, small and medium-sized enterprises (SMEs) and startups are beginning to gain traction, particularly in burgeoning sectors like digital services, e-commerce, and agritech, where a new generation of entrepreneurs is seizing opportunities in both domestic and regional markets.
A promising trajectory tempered by persistent challenges
Despite these undeniable successes, significant challenges remain. The country’s economic growth is still not sufficiently inclusive, with persistent territorial inequalities. Moreover, demographic pressures necessitate the creation of more skilled jobs to absorb a growing workforce. While short-term political stability appears relatively secure, the upcoming presidential elections in October 2025 create a degree of fragility, particularly within a region experiencing political transitions and social unrest.
The government has pledged to address these critical issues, with President Ouattara affirming his commitment to halving poverty by 2030 through a strategy focused on economic inclusion and providing greater support for youth and women. However, achieving these ambitious goals will depend not only on sustained economic growth but also on the effective redistribution of its benefits to ensure a more equitable and resilient future for all Ivorians. The delicate balancing act between economic progress and underlying political vulnerabilities will define the success of Ouattara’s economic gamble in the years to come.
AP/Sf/fss/abj/APA