The World Bank has stated that African economies will experience faster growth this year even as high commodity prices and investments in mining offset the drag from weak exports to Europe.
In its bi-annual report on Africa’s economic prospects, the World Bank estimated that growth in sub-Sahara Africa will rise 5.2 percent this year, accelerating from the 4.9 percent expansion predicted in 2011.
The estimate is slightly lower than the International Monetary Fund’s (IMF) forecast of 5.4 percent growth for 2012 published only just yesterday.
World Bank’s Vice-President for Africa Dr. Obiageli Ezekwesili said African economies have continued to show resilience and some of the fastest-growing economies in the world are now in Africa.
She believes the urgent agenda remains sustaining the macroeconomic reforms while accelerating the structural reforms that will deliver the right quality of growth that creates jobs and raises incomes on the continent.
IMF expects rising oil output in Nigeria and Angola to bolster growth in the two largest crude producers in Africa.
For Nigeria in particular, the second-largest economy in the region, the IMF predicts an expansion by 7.1 percent this year, compared with 7.2 percent in 2011, while Angolan growth is set to accelerate to 9.7 percent from 3.4 percent.
The IMF raised its growth forecast for South Africa, the region’s largest economy, to 2.7 percent for this year from 2.5 percent.
In its world economic outlook report published on Tuesday, the Washington based lender said its hopeful that sub-Saharan Africa’s economy will expand by 5.4 percent this year as rising commodity prices and increased oil production help to offset a slowdown in Europe.
