Africa is becoming one of the fastest-growing economic regions in the world, according to the President of the African Development Bank Group, Sidi Ould Tah.
Speaking at the 2026 African Economic Outlook launch during the bank’s Annual Meetings in Brazzaville on Tuesday, Tah revealed that 12 out of the world’s 20 fastest-growing economies are currently in Africa.
He explained that African economies have continued to remain strong despite several global challenges, including geopolitical tensions, uncertainty in international trade, and a decline in development assistance from foreign partners.
According to the report, Africa’s real Gross Domestic Product (GDP) growth remained stable at 4.3 percent in 2026. The bank also projected that growth would improve further to 4.5 percent in 2027, showing positive momentum across many countries on the continent.
Tah noted that the figures demonstrate Africa’s increasing economic strength even as many global economies continue to struggle with inflation, slowing growth, and economic uncertainty.
The report also showed that GDP per capita growth in Africa improved steadily over recent years. It rose from 0.9 percent in 2023 to 1.9 percent in 2025, indicating that economic expansion is gradually translating into better living conditions for citizens.
Foreign investment into Africa also experienced a major rebound. According to Tah, foreign direct investment increased by 75 percent in 2024, reaching 97 billion dollars. The rise reflects renewed investor confidence in African markets, especially in sectors such as energy, technology, infrastructure, mining, and manufacturing.
In addition to investment inflows, money sent home by Africans living abroad also grew strongly. Remittance inflows climbed by 14 percent in 2024 to 186 billion dollars, making remittances one of the continent’s largest sources of external financing.
Tah described remittances as a critical financial support system for many African economies, helping households and businesses survive during difficult economic periods.
The AfDB president also highlighted improvements in inflation across the continent. Inflation dropped from 21.8 percent in 2024 to 13.6 percent in 2025, offering some relief to consumers and businesses after years of rising prices.
However, he warned that inflationary pressures are beginning to reappear due to higher energy costs and increasing import expenses faced by many African countries.
Despite the encouraging economic indicators, Tah stressed that Africa still faces major structural challenges. He pointed to large financing gaps, infrastructure shortages, unemployment, and weak industrial capacity as key issues that governments must address.
He urged African nations to focus on investment-driven growth, improve education and human capital development, and expand infrastructure financing to sustain economic progress.
Tah also called for deeper financial reforms that would reduce Africa’s dependence on foreign aid and strengthen the continent’s economic independence.
According to him, Africa must take advantage of its young and growing population, rising investor interest, and expanding markets to build long-term and sustainable economic growth across the continent.
