The African Development Bank (AfDB) says Nigeria and other African economies are projected to grow by 4.1 per cent in 2023 and 4.3 per cent in 2024.

AfDB president Akinwumi Adesina said this while inaugurating the African Economic Outlook (AEO) 2023 at the ongoing 2023 AfDB Annual Meetings in Sharm El Sheikh.

“These multiple and dynamic shocks have weighed on Africa’s growth momentum, with growth in real Gross Domestic Product (GDP) estimated at 3.8 per cent in 2022,” stated Mr Adesina. “This is down from 4.8 per cent in 2021. The GDP growth in 2022 is above the global average of 3.4 per cent.”

He added, “Africa has also shown remarkable resilience, evident in the projected consolidation of economic growth in the medium term. The outlook remains positive and stable, with a projected rebound to four per cent in 2023 and further consolidation to 4.3 per cent in 2024.”

The AfDB boss attributed the slowed growth on the continent to the tightening global financial conditions and supply chain disruptions exacerbated by Russia’s invasion of Ukraine, which subdued global growth.

He said the residual effects of the COVID-19 pandemic and the growing impact of climate change and extreme weather events also impaired growth.

Mr Adesina said Africa had a great potential to pursue green growth and climate objectives to accelerate economic growth, given its enormous advantages.

He said the continent had some of the world’s fastest-growing economies, and its real GDP growth was projected to surpass the global average from 2023 to 2024, even as headwinds persist.

The AfDB boss further said the continent also had an important human capital base, with its population projected to increase to 2.4 billion by 2050.

“As most of the current population is young, compared with other regions’ ageing populations, Africa is the current and future frontier market in green growth opportunities. Africa hosts 25 per cent of the world’s natural biodiversity and 30 per cent of the world’s mineral resources, most of which will be essential for a green transition,” noted Mr Adesina.

According to him, Africa has a large renewable energy potential, including wind, solar, hydropower and geothermal and the world’s highest solar energy potential.

(NAN)