Sub-Saharan Africa holds steady at 4.1% despite trade tensions, tight borrowing, aid cuts: IMF

THE International Monetary Fund (IMF) expects Sub-Saharan Africa's economic growth to hold steady at 4.1% in 2025, with a modest pickup anticipated in 2026, according to its October Regional Economic Outlook for Sub-Saharan Africa released on Thursday.

- SIPHELELE DLUDLA

While the region continues to show resilience, the IMF warned that global headwinds - including weaker demand, softer commodity prices, and tighter financial markets - are testing its recovery and reform momentum.

"Six months ago, our assessment highlighted the region's strong efforts and that growth had exceeded expectations last year," said Abebe Aemro Selassie, director of the African Department at the IMF.

"But we also noted the sudden realignment of global priorities and increasing turbulent external conditions, marked by weaker demand, softer commodity prices, and tighter financial markets. Today, these global headwinds continue to test the region's recovery and resilience."