African Trade Report 2024 and Economic Outlook Report 2024 Launch at Afreximbank Annual Meetings

African Export-Import Bank (Afreximbank) recently made a significant announcement at the Afreximbank Annual Meetings (AAM) 2024 in Nassau, The Bahamas. The bank launched its highly anticipated African Trade Report 2024 and African Trade and Economic Outlook Report 2024, shedding light on the economic landscape of the continent.

According to the African Trade and Economic Outlook Report 2024, African economies are expected to grow by an average of 3.8 per cent in 2024, surpassing the predicted global growth rate of 3.2 per cent. The report also forecasts a further increase to 4 per cent in 2025. Titled ‘A Resilient Africa: Delivering Growth in a Turbulent World,’ the report provides a comprehensive analysis of the economic environment, trade patterns, debt scenarios, and future projections for African economies.

Dr. Yemi Kale, Afreximbank’s Group Chief Economist and Managing Director of Research and International Cooperation, highlighted the challenges faced by African trade in 2023, which saw a contraction of 6.3 per cent after a significant expansion in 2022. However, intra-African trade showed resilience by expanding 3.2 per cent during the same period.

Dr. Kale emphasized the potential impact of the African Continental Free Trade Area (AfCFTA) as a tool to protect African economies from global shocks. The report also identified untapped potential in intra-African trade, particularly in sectors such as machinery, electricity, motor vehicles, and food products.

Despite facing downside risks such as increasing sovereign debt, adverse terms-of-trade shocks, and geopolitical tensions, the outlook for the African Continent in 2024 remains positive. Most macroeconomic indicators are expected to improve, with growth projected to outpace the global average.

In the African Trade Report 2024, titled “Climate Implications of the AfCFTA Implementation,” Dr. Kale discussed the potential benefits of the AfCFTA in achieving developmental goals while addressing climate change concerns. The report highlighted ongoing debates regarding the impact of the AfCFTA on carbon emissions, with differing perspectives on the role of intra-African trade in reducing carbon footprints.

Overall, the report emphasizes the potential gains of optimizing the AfCFTA through increased intra-African trade and investment, ultimately leading to economic prosperity and fulfilling the vision of the founding fathers. The launch of these reports marks a significant milestone in shaping the future of African trade and economic growth.