Sub-Saharan Africa's economy to grow by 3 per cent in 2024, says World Bank
Crowded. People transact business on congested Luwum Street in downtown, Kampala, recently. PHOTO | DAVID LUBOWA
What you need to know:
- As Sub-Saharan Africa's working-age population expands, investing in education and skills development is vital for unlocking the region's economic potential and driving sustainable, inclusive growth.
The World Bank's Africa's Pulse report predicts Sub-Saharan Africa's economy will grow by 3 per cent in 2024, driven by private consumption and investment. This growth follows a 2.4 per cent increase in 2023.
"African governments are making strides to stabilise their finances and close budget gaps," said Dr Andrew Dabalen, World Bank Chief Economist for the Africa Region.
However, he warned that "high debt burdens are limiting investments in critical areas like education, health, and infrastructure, which are essential for long-term, inclusive growth."
East African countries are expected to experience significant economic growth, with Rwanda leading at 7.4 per cent, followed by Uganda at 6.0 per cent, Tanzania at 5.4 per cent, Kenya at 5.0 per cent, DR Congo at 4.9 per cent, and Burundi at 2.2 per cent.
Despite this growth, challenges persist. Inflation, although easing, remains a concern, and growth per capita is sluggish at 0.5 per cent in 2024. Conflict, climate change, and soaring debt service costs also undermine progress.
The report highlights the need to transform education to equip the region's growing workforce with stronger foundational skills and market-relevant expertise. To achieve universal education by 2030, the region needs to absorb 170 million more children and adolescents, requiring 9 million new classrooms and 11 million new teachers.
Dr Dabalen emphasised, "Looking ahead, Africa's youth will need to be well educated and appropriately skilled to access better jobs and take advantage of new digital and green economy opportunities."
Supporting entrepreneurship, allowing small businesses to grow, and attracting larger firms are crucial for creating meaningful job opportunities. The report urges evidence-based planning and smart spending to expand access to education while improving learning and employment outcomes.
As Sub-Saharan Africa's working-age population expands, investing in education and skills development is vital for unlocking the region's economic potential and driving sustainable, inclusive growth.
