World Bank Group forecasts 3.2% growth for Sub Sahara Africa - SSA
THE WORLD BANK has forecasted a more bullish growth for Sub Sahara Africa – SSA. The estimated growth projected for SSA is 3. 2% for 2018 0.8% up from 2.4% in 2017. This growth momentum will increase to 3.5% in 2019.
The globe is currently in upturn mode of the business cycle evidenced by a rise in commodity prices for crude, copper, cocoa, cobalt and coffee which is expected to persist for years to come. However, the world bank has advised cautious optimism in light of downside risks.
In contrast, growth in potential output (full-employment output) is flagging, languishing below its longer term and pre-crisis average both globally and among Emerging Market and Developing Economies - EMDEs.
Forces depressing potential output growth will continue unless countered by structural policies. In oil-exporting economies, the 2014-16 oil price plummet has already prompted some reforms.