African countries’ debt has stopped growing, IMF reports

The debt of African countries has stopped growing in 2024 and will stabilize at 58% of GDP, said Antonio David, Deputy Division Chief of the African Department of the International Monetary Fund (IMF)."The level of debt has stabilised, although it remains high, at around 58% of GDP. However, the good news is that the debt does not continue to increase," he told Ecofin.According to him, the economic outlook for Africa is 'gradually improving,' as 'changes in economic policies are beginning to show positive results.' 'For example, we are seeing a reduction in some economic imbalances, such as inflation, which is falling in several countries. About half of the countries are already showing more acceptable inflation rates. In 2023, many countries have also made efforts to better manage their public finances: about two-thirds of countries have taken measures to consolidate their budgets,' he explained.At the same time, some countries on the continent are failing to resolve their economic problems. In a thir d of countries, including Angola, Algeria and Ethiopia, "inflation remains high, with double-digit rates."Looking at Africa's economic outlook for 2025, its GDP is expected to grow by 4.4%. 'This is better than the rates seen in 2024 and 2023, but still insufficient to truly reduce poverty or catch up with richer countries and emerging markets,' David concluded.Source: Burkina Information Agency