Ethiopian Informer
ADDIS ABABA (EI): A flagship United Nations report stressed that sustained progress demand renewed multilateral action and deeper global coordination as Africa’s economic outlook projected to remain solid in 2026 despite trade uncertainty.
The flagship World Economic Situation and Prospects (WESP 2026) Report — Africa Regional Outlook, which was launched by the United Nations Economic Commission for Africa (UNECA) on Thursday in the Ethiopian capital of Addis Ababa, highlighted a modest improvement in Africa’s growth outlook.
Highlighting that Africa’s economic growth is projected to rise to 4.0 percent in 2026 and 4.1 percent in 2027, up from 3.5 percent in 2024 and 3.9 percent in 2025, the report noted that the continent’s accelerated growth prospects reflect greater macroeconomic stability in several large economies, supporting investment and consumer spending.
Hopestone Chavula, officer-in-charge of the macroeconomic analysis section at the UNECA, presenting the report highlighted Africa’s slightly improving prospects with modest per-capita growth amid structural vulnerabilities.
Chavula warned over the uneven growth across African continent’s sub-regions. “Africa’s growth recovery remains uneven across sub-regions. While East Africa continues to lead growth momentum, other parts of the continent are constrained by structural challenges and exposure to external shocks.”
The report highlighted that East Africa is expected to lead regional performance, with growth projected to accelerate to 5.8 percent in 2026 from 5.4 percent in 2025, mainly driven by robust performance in Ethiopia and Kenya and supported by regional integration and the expansion of renewable energy.
It said north Africa’s growth is forecasted to ease slightly to 4.1 percent in 2026, following a strong 4.3 percent in 2025, while west Africa is expected to expand by 4.4 percent in 2026, down slightly from 4.6 percent in 2025.
Central Africa’s growth is forecasted at 3.0 percent in 2026, below the continental average but above the 2025 estimate of 2.8 percent. Southern Africa’s growth is expected to edge up from 1.6 percent in 2025 to 2.0 percent in 2026 but will remain subdued due to structural constraints, the report said.
Stephen Karingi, Director of Macroeconomics, Finance and Governance Division at the UNECA, warned at the launching event that the continent’ss improving outlook remains fragile in the face of global uncertainty.
He said despite the positive outlook, high debt-servicing costs, limited fiscal space and volatile commodity prices continue to weigh on Africa’s prospects for inclusive and sustainable growth.
The report noted that Africa’s growth remains resilient but faces headwinds from declining official development assistance, rising trade barriers and an uncertain global trade and financial environment.
Meanwhile, the report stressed that sustained progress will depend on rebuilding trust, strengthening predictability, and renewing the commitment to an open, rules-based multilateral trading system.
It underscored that at a time when geopolitical tensions are rising, policies are becoming more inward-looking and the impetus towards multilateral solutions is weakening, navigating an era of trade realignments, persistent price pressures and climate-related shocks will demand deeper global coordination and decisive collective action.
(Photo Credit – United Nations Economic Commission for Africa (UNECA) – Original Source)
