• Thursday, May 23, 2024
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Top 10 Africa countries poised to drive GDP growth in 2024

Top 10 Africa countries poised to drive GDP growth in 2024

As Africa continues its journey towards substantial GDP growth in 2024, fueled by its abundant resources and dynamic economies, certain nations emerge as pivotal drivers of this expansion. These top 10 African countries are poised to be central in propelling the continent’s economic progress.

With their diverse economic structures, strategic investment initiatives, and business-friendly policies, these nations are strategically positioned to seize opportunities for further economic development and expansion.

As they continue to leverage their strengths and potential, Africa’s economic landscape stands poised for sustained growth and prosperity.

In 2024, Sub-Saharan Africa is witnessing a rebound fueled by its larger economies, although growth rates are lower than in previous decades. Around 70% of the region’s countries are expected to experience accelerated growth, but half will fall below their 2000-2019 average.

The ten largest economies drive 80% of regional growth, with Côte d’Ivoire, Ethiopia, Kenya, and Nigeria leading, contributing 40% of the region’s GDP.

Only three top economies exceed their long-term growth averages: Côte d’Ivoire, the Democratic Republic of Congo, and Kenya.

Read also: Top 10 largest economies by GDP in 2024

According to a report by the World Bank titled “Addressing Inequality to Revitalize Growth and Alleviate Poverty in Africa,” the following are the top 10 African countries poised to drive GDP growth in 2024, based on their contribution to regional GDP growth

10. Nigeria — contribution: 0.88%

With a diverse economy spanning oil, agriculture, telecommunications, and finance, Nigeria’s GDP growth will be fueled by its large population and abundant natural resources, maintaining its position as the continent’s economic powerhouse.

9. Ethiopia — contribution: 0.39%

Significant investments in infrastructure, manufacturing, and agriculture drive Ethiopia. The country’s ambitious development plans and strategic location will make it a key player in regional economic growth.

8. Kenya — contribution: 0.25%

Kenya’s active economy is characterized by various sectors such as agriculture, tourism, and technology. Kenya seems to benefit from its strategic position as a regional hub for trade and investment driving sustained GDP growth.

Read also: Nigeria’s GDP growth slows to 2.74%, lowest in three years

7. Côte d’Ivoire — contribution: 0.23%

Côte d’Ivoire popular for its extensive cocoa production has diversified its economy to include mining, manufacturing, and services. The country’s stable political environment and pro-business policies have attracted significant foreign investment, fueling economic expansion.

6. South Africa — contribution: 0.21%

Despite facing challenges such as high unemployment and inequality, the country remains a key player in Africa’s economy. With a well-developed financial sector, abundant natural resources, and a strong industrial base, South Africa continues to drive GDP growth in the region.

5. Tanzania — contribution: 0.19%

Tanzania’s economy benefits from many sectors, including agriculture, mining, and tourism. The government’s focus on infrastructure development and investment promotion has bolstered economic growth, making Tanzania an attractive destination for investors.

4. Democratic Republic of Congo — contribution: 0.17%

The Democratic Republic of Congo possesses immense natural wealth, including minerals and hydroelectric potential, despite facing challenges such as political instability and infrastructure deficiency. Continuous efforts have been made to improve governance and attract investment which will drive GDP growth in the country.

Read also: Nigeria’s climb to 10.6%: Tax-GDP ratio rollercoaster across African countries as SA’s dip to 21%

3. Angola — contribution: 0.15%

Angola, Africa’s second-largest oil producer, is working to diversify its economy away from reliance on oil exports. Infrastructure development, agriculture, and mining are key focus areas that Angola is actively working on to drive economic growth and reduce dependence on oil revenues.

2. Uganda — contribution: 0.12%

Uganda’s economy is characterized by agriculture, manufacturing, and services, with significant potential for growth in sectors such as tourism and oil exploration. The governments have placed efforts to improve infrastructure and attract foreign investment to contribute to GDP expansion.

1. Ghana — contribution: 0.10%

Ghana’s economy is buoyed by gold production, agriculture, and services, with a growing focus on oil exploration. Stable governance and a favourable business environment have attracted investment, driving GDP growth and positioning Ghana as a key player in Africa’s economy.