Trade Wars and African Growth Prospects

Hippolyte Fofack

Published: September 2018

African economies are back on a path of economic expansion which has been broad-based driven by both commodity-dependent and non-resource-rich economies. The region is forecast to achieve an average economic growth rate of 4 per cent in 2018 and grow by as much again the following year. A challenging global economic environment with the escalation of trade tensions and an accelerating pace of normalization of monetary policy pose major medium-term risks to African and global growth. The African Continental Free Trade Area will deepen the ongoing process of economic integration and will mitigate the exposure of the region to recurrent adverse external shocks.