All Posts in "Banking & Finance"

World Bank releases $1.78 bn to Turkey hunt for recovery, reconstruction after eathquakes

By Favour Nnabugwu

 

 

The World Bank has announced $1.78 billion assistance for Turkey s recovery and reconstruction after a massive earthquakes.

The Bank gave the fund to help relief and recovery efforts following devastating earthquakes and aftershocks in Türkiye that have already resulted in massive loss of life, injuries, and very significant damages in and around southeastern Türkiye.

The World Bank has also commenced a rapid damage assessment to estimate the magnitude of the disaster and identify priority areas for recovery and reconstruction support, building on its extensive experience in disaster risk management from around the world.

“On behalf of the World Bank Group, we express our deepest condolences to the people of Türkiye and Syria for the great loss you have suffered as a result of the devastating earthquakes,” said World Bank Group President David Malpass. “We are providing immediate assistance and preparing a rapid assessment of the urgent and massive needs on the ground. This will identify priority areas for the country’s recovery and reconstruction as we prepare operations to support those needs.”

Immediate assistance of $780 million is offered via Contingent Emergency Response Components (CERCs) from two existing projects in Türkiye – the Türkiye Earthquake, Floods and Wildfires Emergency Reconstruction Project (TEFWER) and the Climate and Disaster Resilient Cities Project. CERCs help recipient countries quickly access project funds for emergency response, as is needed now in Türkiye.

The assistance will be used for rebuilding basic infrastructure at the municipal level.
Türkiye’s immediate and future needs are immense and span the whole range from relief to reconstruction,” said Humberto Lopez, World Bank Country Director for Türkiye.

The World Bank in Türkiye

The World Bank’s deep and productive partnership with Türkiye dates back to 1950. In recent years, the Bank has become a leading partner in disaster risk management, urban development, and energy efficiency in the country. The Bank has implemented the Istanbul Seismic Risk Mitigation and Emergency Preparedness Project; the Safe Schools Project financed by the Facility for Refugees in Türkiye; and the Disaster Risk Management in Schools Project, among others.

Projects under implementation include the Seismic Resilience and Energy Efficiency in Public Buildings Project to improve earthquake resilience and energy efficiency of public buildings. The World Bank’s Türkiye program currently stands at 30 active lending operations worth $9 billion.

The World Bank and Disaster Risk Management

Disasters hurt the poor and vulnerable the most. Over the past decade, the World Bank has emerged as the global leader in disaster risk management, supporting client countries to assess exposure to hazards and address disaster risks.

Mainstreaming disaster risk management into development planning can reverse the current trend of rising disasters, from natural and human-made causes. Furthermore, when countries rebuild stronger, faster, and more inclusively after disasters, they can reduce the impact on people’s livelihoods and well-being by as much as 31%.

Patoma Admin by — February 10, 2023 in Banking & Finance 0
AfDB”s AFAWA fund for women entrepreneurs hit $1bn

By Favour Nnabugwu

 

 

 

The African Development Bank’s Affirmative Finance Action for Women in Africa (AFAWA) initiative has reached a landmark $1 billion in approved funding designated for lending to African women entrepreneurs.

This is yet another milestone for the bank following an historic summit last week to tackle the escalating challenges of food security in Africa. The Dakar 2 Africa Food Summit, co-hosted by the Bank and the Government of Senegal, was attended by 34 heads of state and government, more than 70 ministers, farmers’ representatives from the private sector and development partners.

AFAWA was launched in 2015 in Dakar during the first Feed Africa conference (Dakar 1 Africa Food Summit).

Dr. Beth Dunford, the Bank’s Vice President for Agriculture, Human and Social Development said: “I am incredibly proud of AFAWA’s financing achievement. AFAWA’s benchmark reminds us that when we invest to grow Africa’s food systems, we must also invest in Africa’s women agripreneurs.”

Women run the majority of Africa’s agricultural sector small and medium-sized enterprises (SMEs), yet they face significant barriers to accessing finance. Across the continent, African women entrepreneurs face an estimated $42 billion gender financing gap compared to men.

In the last two years, the Bank, through AFAWA, has multiplied the volume of investments toward women-owned small and medium enterprises sevenfold.

“By the end of December 2022, AFAWA-approved lending to women-led small and medium sized enterprises reached $1.051 billion. Of that, $135 million targets women in the agriculture sector,” said Malado Kaba, Director of the Bank’s Gender, Women and Civil Society Department.

“AFAWA’s approved lending reaches across 27 countries, and through 56 financial institutions. Already 4,115 women business owners have benefited from AFAWA financing instruments. This is just the beginning,” she added.

Already, financial barriers to African women ‘agripreneurs’ growing their businesses, are being addressed through AFAWA investment. AFAWA is working to boost the professional and financial capacities of over 200 women cooperatives in the staple crop food sector in Cote d’Ivoire.

This includes training and access to a digital platform connecting women producers to buyers of agricultural products like wholesalers, retailers and consumers across Cote d’Ivoire.

Furthermore, AFAWA is working with Ecobank on the “Financing Climate Resilient Agricultural Practices in Ghana” project. The project mobilized $20 million from the Green Climate Fund, and $5 million from Ecobank Ghana as co-financing, to fill the gap for working capital to farmers.

The AFAWA project aims to provide financing and technical support to 400 women-led, farmer-based associations and women-owned small and medium enterprises, to foster their agriculture productivity and strengthen their climate resilience practices.

To accelerate progress toward unlocking $5 billion in lending for women by 2026, AFAWA has established a Guarantee Mechanism (http://bit.ly/3DtOnuS) which de-risks the women’s market and increases the ability of financial institutions to lend to women business owners.

AFAWA also launched the Women Entrepreneurship Enablers program, which provides up to $250,000 for women’s business associations, incubators, accelerators, women-led cooperatives, and civil society organizations.

The program increases women SMEs readiness to access credit and scale their businesses. The program inducted its first cohort of 10 Enablers (http://bit.ly/3wFoVi8) in July 2022, who are expected to apply skills acquired in the Enablers program to reach more than 15,000 women-led micro and small enterprises. The second call for proposals to the program drew more than 1,200 applicants. The second cohort will be announced later this year.

“In 2023, we will continue to work closely with our partners to accelerate their ability to lend to women-led micro and small enterprises. Ensuring that the enabling environment is inclusive to enhance women’s ability to access financing will be critical. Thus, we will work closely with policymakers to ensure that the right reforms are in place to accelerate women-led small and medium enterprises’ financial access,” said Kaba

 

Patoma Admin by — February 7, 2023 in Banking & Finance 0
ICIEC, LEPC sign pact to facilitate corporation

By Favour Nnabugwu

 

 

 

The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC) the insurance arm of the Islamic Development Bank (IsDB) Group, has signed a Memorandum of Understanding (MoU) with the Libyan Export Promotion Center (LEPC) to facilitate cooperation between both parties in mutually agreed areas.

The agreement was signed by Mr. Oussama Kaissi, Chief Executive Officer of ICIEC, and Mr. Mohammed Ali Al-Deeb, Director General, of the LEPC.

The MoU between ICIEC and LEPC is a major step forward in providing export credit and investment insurance facilities to Libyan institutions and companies.

The MoU covers a broad range of activities, such as organizing introductory seminars for Islamic insurance, export credit and investment insurance; providing technical support to local insurers; introducing foreign investments into Libyans’ export projects; participating in related activities organized by other parties; exchanging information on exporters based in Libya looking for export credit insurance.

This partnership will help create an environment that encourages businesses to invest more confidently while expanding the scope of their operations abroad.

Commenting on the MoU Mr. Oussama Kaissi said “We are delighted to announce our new partnership with the Libyan Export Promotion Center! This agreement will increase and diversify Libyan exports, strengthening our efforts in export credit reinsurance. We believe this will provide much-needed support for businesses in Libya during these challenging times”.

The Libyan Export Promotion Center is a government entity affiliated with the Ministry of Economy and Trade, Libya. It was established with the aim of encouraging, developing and diversifying Libyan non-oil exports, spreading the culture of export among the parties related to its activity, and providing the necessary technical, administrative and financial support to Libyan and export institutions to facilitate the access of their products to global markets.

The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC) Signs Memorandum of Understanding (MoU) with the Libyan Export Promotion Center to Support Export Development

Patoma Admin by — February 7, 2023 in Banking & Finance 0
AfDB raises $1m technical grant for GMFA to Nigeria, 6 other countries

By Favour Nnabugwu

 

 

The Sustainable Energy Fund for Africa (SEFA) of the African Development Bank Group will provide a $1 million technical assistance grant to the Green Mobility Facility for Africa (GMFA).to Nigeria, 6 other countries.

GMFA provides technical assistance and investment capital to accelerate and expand private sector investments in sustainable transport solutions in seven countries: Kenya, Morocco, Nigeria, Rwanda, Senegal, Sierra Leone, and South Africa.

The SEFA grant will support the creation of an enabling environment for Electric vehicles (EVs), the design of EV business models and guidelines for the public and private sector, the development of a bankable pipeline of e-mobility projects, regional coordination, and knowledge sharing amongst other upstream activities to help catalyse follow-on private sector financing during the subsequent investment phase of the GMFA.

“Mobility is a fundamental lifeline that connects people to critical services, jobs, education, and opportunities,” said Nnenna Nwabufo the Director-General of the Bank’s East Africa Regional Development and Business Delivery Office. “The African Development Bank is committed to building a sustainable and more climate-resilient future by catalysing private investment in low-carbon solutions.

We believe GMFA will have a tremendous impact on the African market by accelerating the shift to green mobility, reducing over 2,175,000 carbon dioxide equivalent tons of greenhouse gas emissions and facilitating the creation of 19,000 full-time jobs.”

Mobility is a fundamental lifeline that connects people to critical services, jobs, education, and opportunities,” said Nnenna Nwabufo the Director-General of the Bank’s East Africa Regional Development and Business Delivery Office. “The African Development Bank is committed to building a sustainable and more climate-resilient future by catalysing private investment in low-carbon solutions. We believe GMFA will have a tremendous impact on the African market by accelerating the shift to green mobility, reducing over 2,175,000 carbon dioxide equivalent tons of greenhouse gas emissions and facilitating the creation of 19,000 full-time jobs.”

“Future demand for mobility solutions and vehicle ownership is expected to increase with rapid urbanisation, population growth, and economic development. We are delighted to receive this support from AfDB.

We see this as a vote of confidence in our efforts to shift to e-mobility solutions and advance Rwanda’s transition to a low-carbon economy,” said Clare Akamanzi, Chief Executive Officer of the Rwanda Development Board. Rwanda is one of seven pilot countries for GMFA.

Patoma Admin by — February 3, 2023 in Banking & Finance 0
Ecobank wins Best Place to work in Africa 2022 Award

By Favour Nnabugwu

 

 

 

Ecobank Group, the leading pan-African bank, has won the highly coveted Best Place to Work in Africa 2022 Award from the Best Place to Work organisation.

The Award honours organisations that exhibit the highest standards of excellence in Human Resources (HR) practices and employees’ experience. Ecobank is the first Pan-African bank to have been awarded the certification.

The Chief Executive Officer, Ecobank Group, Ade Ayeyemi said: “At Ecobank, we recognise that our people are our greatest asset. As a pan-African bank, we are intentional in deploying resources to attract, develop and retain the right talent. We actively provide the tools and processes to achieve a performance-driven culture and enabling environment.

Receiving international recognition as being one of the Best Places to Work in Africa is a great honour. It is noteworthy that this Award would not have been possible without the support of my colleague Ecobankers.”

The certification programme involves rigorous assessment and rankings based on the results of robust and objective assessments carried out at various hierarchical levels and across HR operations and procedures.

It includes HR Assessment and an Employee Assessment Survey. Areas covered include HR practices, compensation, benefits, leadership, teamwork, employee engagement and Corporate Social Responsibility (CSR).

The Group Executive, Human Resources at Ecobank, Yves Mayilamene commented: “We support and empower our talent to excel in an enabling and conducive working environment while investing in their growth and wellbeing. At Ecobank, we always seek to provide our staff with opportunities to advance and achieve their full potential through our learning and development initiatives.

This Best Place to Work Award is a tribute to our Ecobankers’ commitment to exhibiting and living our values, as well as creating the right corporate culture.”
The assessment process resulted in the Ecobank Group achieving a total certification score of 79% any percentage above 75% is considered high. The certification of the Best Place to Work accreditation is for one year (November 2022-November 2023).

Best Places to Work certified organisations tend to outperform the market average in terms of driving consistent long-term business performance through high employee engagement, engaging leadership and talent focus. Becoming a certified organisation means employees are inspired, engaged and motivated to do their best, everyday and everywhere.

During the celebration event, Peter Burke, President of Best Companies Group, extended his heartful congratulations to Ecobank by emphasising on the uniqueness of this Award that strengthens the Ecobank Employer Brand. He added:” You are being recognised for creating workplaces where your employees love to come to work. You are the envy of all other employers. Keep up the good work.”

The Best Places to Work certification is a globally recognised flagship employer of choice programme and is delivered in partnership with Best Companies Group. The Best Company Group is a well-established US company focused on identifying and recognising best employers in over 60 countries around the world.

In Africa, there were 29 Best Places to Work organisations recognised in 2022. These include Alsa, eHealth Africa, Hilti, IHS, Ooredoo and Pharma 5. Some global companies with operations in Africa – such as AstraZeneca, Dell, Nestlé and Roche – were also among the winners.

The Best Place to Work in Africa Award followed another significant recognition for Ecobank as the Best Employer Brand in Africa, from the Africa Best Employer Brand Awards 2022. It honours the top organisations in Africa who are exemplary in HR.

The judges for this Award considered business progress based on public available information and many aspects of People/HR strategies including Talent Management and Development; Diversity and Inclusion; Women Empowerment; Promoting and Managing Health in the workplace; and CSR Initiatives.

Patoma Admin by — February 3, 2023 in Banking & Finance 0
African Development Fund helps create jobs for youths in Malawi

By Favour Nnabugwu

 

 

 

Thousands of youths in Malawi have gained employment and some have even created jobs for their peers, thanks to a project supported by the African Development Bank

The Jobs for Youth in Malawi project implemented between 2017 and 2022 has helped develop an entrepreneurial culture among young people, from primary school to university according to the project completion report (https://bit.ly/40ijzXA) released by the bank on 24 January 2023.

The African Development Fund, the concessional lending arm of the African Development Bank Group, had provided a loan of $10.45 million and a grant of $1.73 million to Malawi for the project’s implementation.

The objective was to improve the employability of the country’s youth women and men by providing them with decent work, thereby promoting their economic empowerment. It also aimed to help them develop sustainable entrepreneurship.

The Jobs for Youth in Malawi project focused on both training and technical assistance to training institutes. In addition, the initiative helped to provide practical training for out-of-school youths and to set up an internship programme for youths.

By the end of the project, a total of 14,933 young people were employed. Some of them went on to create jobs for others, and provide internships and vocational training through the business incubation programme in targeted sectors such as manufacturing, information and communication technology, agriculture and small-scale mining.

These training programmes have resulted in the creation of 5,276 businesses. A B2B trade facilitation training programme for 110 young people delivered, 30 young people signed business deals to be supplying horticulture and other agricultural produce to large supermarkets and other agro-produce off-takers.

According to the African Development Bank report, project funds, including vocational entrepreneurship training, were reallocated to the construction of four technical colleges for training in the selected sectors—mining, manufacturing, ICT and agriculture.

The construction of technical colleges in Ngara, Mbandira, Neno and Naminjiwa has been completed. Furniture and equipment have been installed, and the colleges are now operational. At the time of the project’s conclusion, two of the four colleges had already enrolled a total of 225 youth, 114 youth in the garment sector and 111 in agriculture.

Patoma Admin by — February 2, 2023 in Banking & Finance 0
AfDB, Canadian Govt set special for medium side, SMEs

By Favour Nnabugwu

 

 

African Development Bank Group and the Government of Canada have established a new special fund to support Africa’s small and medium-sized enterprises (SMEs) in the agriculture sector.

The Agri-food SME Catalytic Financing Mechanism aims to catalyze and de-risk investment for agriculture SMEs, as well as strengthen agricultural value chains and improve food security across the continent. The two organisations made the announcement at a press event on 27 January held during the Dakar 2 Africa Food Summit.

“At the Africa Food Summit, we have seen a strong commitment to addressing the financing gap for SMEs and creating an environment that encourages private sector investments in climate-smart, gender-oriented agricultural solutions,” Dr. Beth Dunford, the Bank’s Vice President for Agriculture, Human and Social Development told reporters. “The Agri-food SME Catalytic Financing Mechanism will help unlock opportunities for these businesses in Africa, particularly for women and youth,” she said.

Canada contributed CAD 100 million ($73.5 million) to fund the mechanism, which is hosted by the African Development Bank. Small and medium agri-businesses produce, process or transport around 65% of Africa’s food, yet they face a financing gap of more than $180 million annually.

The mechanism will provide concessional finance and technical assistance to financial intermediaries including agribusinesses, micro-finance institutions and impact funds. The finance and assistance aim to enable the intermediaries to make loans to agri-SMEs working with women, and businesses that build resilience to climate change.

The Agri-food SME Catalytic Financing Mechanism will add to the Bank Group Affirmative Finance Action for Women in Africa’s (AFAWA) goal of closing the $42 billion access to finance gap for women-led SMEs and to accelerate their growth.

The Mechanism represents the Bank’s first blended financing facility to specifically target SMEs operating across the agricultural value chain. It mobilizes public funds to de-risk agricultural financing, crowds in support to make SMEs more bankable, and collaborates with providers of capital to make banks more ‘agriculture-friendly’.

“The best way to build up food security in Africa is to work with small-and-medium-sized agriculture and food businesses. Through a shared commitment between Canada and the African Development Bank, the Agri-food SME Catalytic Financing Mechanism will advance resilient growth and climate adaptation. It will also help African SMEs to pursue climate smart models, and support women by shifting attitudes that perpetuate gender gaps in financial inclusion,” said Anita Vandenbeld,

Parliamentary Secretary to Canada’s Minister of International Development.
Structured as multi-donor trust fund, the Mechanism is open to and welcomes the participation and contribution of other development partners.

By co-financing with the African Development Bank’s financial instruments, the Mechanism will increase the quantum of attractive capital de-risking agri-SMEs and leverage more private sector finance toward impactful agri-food sector investments.

Patoma Admin by — February 2, 2023 in Banking & Finance 0
AfDB approves $50m, €50m Credit for ECOWAS EBID for food security, agricultural value chains

By Favour Nnabugwu

 

 

The Board of Directors of the African Development Bank Group has approved a dual-currency Trade Finance Line of Credit for ECOWAS Bank for Investment and Development (EBID) comprising $50 million and EUR 50 million to enhance food and boost agricultural value chains in the region

An additional co-financing of $30 million for the credit line will come through the Africa Growing Together Fund (AGTF) from the People’s Bank of China (PBOC).

EBID will use the three-and-a-half-year facility to provide direct financing to local corporates. Part of the facility will also be channelled through select local banks for on-lending to key sectors such as agriculture, infrastructure, and transport.

The ultimate beneficiaries will be Small and Medium-sized Enterprises (SMEs), local enterprises cooperatives and farmers in the West Africa region.

tutions like EBID are key partners of the African Development Bank and serve markets and client segments critical to the overall development of the continent.

“They play an important role in promoting trade and regional integration. This is the Bank’s first financing support to EBID, and we look forward to an even stronger partnership in the near future,” he said.

The Bank’s Head of Trade Finance, Lamin Drammeh, stressed the critical need for such support in the region. “We are excited to work with EBID to increase access to trade finance in the ECOWAS region with a special focus on the agriculture value chain, SMEs and women-owned businesses”, he said.

“Regional institutions like EBID complement the Bank’s efforts to bridge the trade finance gap in Africa and serve as an effective conduit for channeling much-needed funds to underserved countries and sectors”, he added.

The African Development Bank estimates the annual trade finance gap for Africa to be around $81 billion. Compared to multinational corporates and large local corporates, SMEs and other domestic firms have greater difficulty in accessing trade finance.

Distributed by APO Group on behalf of African Development Bank Group (AfDB).

Patoma Admin by — February 2, 2023 in Banking & Finance 0
CBN directs banks to pay redesign naira notes over-the-counter

 By Favour Nnabugwu
The Central Bank of Nigeria (CBN) has
directed deposit money banks (DMBs) in the country to commence the payment of the redesigned Naira notes over the counter, for a maximum daily payout limit of N20,000.
Director Corporate Communication, CBN, Osita Nwanisobi in a statement stated that the apex bank will collaborate  with the Nigeria Police, Federal Inland Revenue Service (FIRS), the Economic and Financial Crimes Commission (EFCC) and the Nigerian Financial Intelligence Unit (NFIU) to prosecute abuses and sellers of the naira.
Nwanisobi said, “The Central Bank of Nigeria (CBN) has observed, with grave concern, the activities of persons who sell the newly redesigned banknotes and those who flagrantly abuse the legal tender by hurling wads of Naira notes in the air and stamping on the currency at social functions.
“We have equally noticed the queues at Automated Teller Machines (ATMs)
across the country and an upward trend in the cases of people stocking and
aggregating the newly introduced banknotes they serially obtain from ATMs for reasons best known to them,” he added
Also worrisome are the reported cases of unregistered persons and non-bank officials swapping banknotes for members of the public, purportedly on behalf of the CBN.
“We wish to state unequivocally that, contrary to the practice of these unpatriotic persons, it is unlawful to sell the Naira, hurl (spray), or stamp on the currency under any circumstance whatsoever.
For the avoidance of doubt, Section 21(3) of the Central Bank of Nigeria Act
2007 (As amended) stipulates that “spraying of, dancing or matching on the
Naira or any note issued by the Bank during social occasions or otherwise howsoever shall constitute an abuse and defacing of the Naira or such note and  shall be punishable under the law by fines or imprisonment or both.”
“Similarly, Section 21(4) states that “It shall also be an offence punishable under Sub-section (1) of this section for any person to hawk, sell or otherwise trade in the Naira notes, coins or any other note issued by the Bank.”
“Accordingly, the Central Bank of Nigeria (CBN) is collaborating with the Nigeria
Police, Federal Inland Revenue Service (FIRS), the Economic and Financial
Crimes Commission (EFCC) and the Nigerian Financial Intelligence Unit (NFIU) to address the unpatriotic practice.
“We, therefore, warn Nigerians, particularly those at social functions such as birthdays, weddings and funerals, to desist from disrespecting the Naira or risk being arrested by law enforcement agencies.
“While reiterating our commitment to Nigerians to ensure the effective
distribution of the newly introduced Naira banknotes, we urge them to exercise patience as the CBN is working assiduously to address the challenge of queues at ATMs.
“In line with this resolve, the Governor, Mr. Godwin Emefiele, has directed deposit money banks (DMBs) to commence the payment of the redesigned Naira notes over the counter, subject to a maximum daily payout limit of N20,000.
“We also admonish members of the public to embrace and adopt other payment channels for their transactions.
The Naira is our legal tender and symbol of national pride. Therefore, let us
respect it and handle it with care”
Patoma Admin by — February 2, 2023 in Banking & Finance 0
Africa to beat other countries with 4% GDP in 2023, 2024

By Favour Nnabugwu
Africa is set to outperform the rest of the world in economic growth over the next two years, with real gross domestic product (GDP) averaging around 4 percent in 2023 and 2024.
This is higher than projected global averages of 2.7 percent and 3.2 percent, the African Development Bank Group said in Africa’s Macroeconomic Performance and Outlook report for the region, released in Abidjan last week.
With a comprehensive regional growth analysis, the report shows that all the continent’s five regions remain resilient with a steady outlook for the medium-term, despite facing significant headwinds due to global socio-economic shocks. It also identified potential risks and called for robust monetary and fiscal measures, backed by structural policies, to address them.
The Macroeconomic Performance and Outlook report will be released in the first and third quarters of each year. It complements the bank’s existing annual African Economic Outlook report, which focuses on key emerging policy themes relevant to the continent’s development.
The report shows that estimated average growth of real GDP in Africa slowed to 3.8 percent in 2022, from 4.8 percent in 2021 amid significant challenges following the Covid-19 shock and Russia’s invasion of Ukraine.
Despite the economic slowdown, 53 of Africa’s 54 countries posted positive growth. All the five regions of the continent remain resilient with a steady outlook for the medium-term.
However, the report sends a cautionary note on the outlook following current global and regional risks. These risks including soaring food and energy prices, tightening global financial conditions, and the associated increase in domestic debt service costs.
Climate change with its damaging impact on domestic food supply and the potential risk of policy reversal in countries holding elections in 2023—pose equally challenging threats.
The report advocates bold policy actions at national, regional, and global scales to help African economies mitigate the compounding risks.
In remarks during the launch, African Development Bank Group President Dr. Akinwumi Adesina said the release of the new report came at a time when African economies, faced with significant headwinds, were proving their resilience.
“With 54 countries at different stages of growth, different economic structures, and diverse resource endowments, the pass-through effects of global shocks always differ by region and by country. Slowing global demand, tighter financial conditions, and disrupted supply chains therefore had differentiated impacts on African economies,” he said.
 “Despite the confluence of multiple shocks, growth across all five African regions was positive in 2022 and the outlook for 2023 to 2024 is projected to be stable.”
Niale Kaba, Minister of Planning and Development of Côte d’Ivoire, said: “The release of this report by our bank, the African Development Bank Group, at this time of the year is an excellent opportunity for Africa and its global partners.
We need these regular updates to assess our countries’ macroeconomic performance and prospects. This reliable information will help decision-making and risk management for potential investors in Africa.”
Africa’s pre-Covid-19 top five performing economies are projected to grow by more than 5.5 percent on average in 2023-2024 and to reclaim their position among the world’s 10 fastest-growing economies. These countries are Rwanda (7.9 percent), Côte d’Ivoire (7.1 percent), Benin (6.4 percent), Ethiopia (6.0 percent), and Tanzania (5.6 percent).
Other African countries are projected to grow by more than 5.5 percent in the 2023-24 period. They are the Democratic Republic of Congo (6.8 percent), The Gambia (6.4 percent), Mozambique (6.5 percent), Niger (9.6 percent), Senegal (9.4 percent), and Togo (6.3 percent).
At the launch, economist Jeffrey Sachs, Director of the Center for Sustainable Development at Columbia University commended the report which he said showed that African economies are growing and growing consistently.
Sachs, who is also United Nations Secretary-General Antonio Guterres’ Advocate for Sustainable Development Goals, said: “Africa can and will rise to growth of 7 percent or more per year consistently in the coming decades.
 What we’ll see, building on the resiliency we see in this report, is a real acceleration of Africa’s sustainable development so that Africa will be the fast-growing part of the world economy. Africa is the place to invest.”
Patoma Admin by — February 2, 2023 in Banking & Finance 0