African economies are expected to grow overall by around 3,5% in 2024 and, despite the volatility of the global economic environment, continue to grow moderately, around 4%, in 2025, according to the African Export-Import Bank.

The data comes from the African Economic and Trade Outlook 2024, presented today in Nassau on the first day of the Annual Meetings of the African Export-Import Bank (Afreximbank), by Yemi Kale, the institution's chief economist.

The event, which takes place in the capital of the Bahamas until next Friday, and coincides with the 3rd Afro-Caribbean Trade and Investment Forum (ACTIF2024), aims to boost economic and trade relations between the two regions.

"Ongoing global challenges have hampered the performance of African trade, which recorded a contraction of 6,3% in 2023, compared to an expansion of 15,9% in 2022, while intra-African trade increased by 3,2% in the same period," the document details.

With the exception of North Africa and parts of East Africa, the subregions saw an economic slowdown, resulting from slower global growth and higher energy prices, particularly for crude oil.

“Inflationary pressures and tighter global financial conditions have contributed to currency volatility in most African countries,” the document adds.

In terms of gross domestic product (GDP), African economies recorded combined average growth of 2023% in 3,2, down from 4% in 2022.

“The pace of global recovery from the COVID-19 pandemic was stronger than expected in 2023, but has slowed moderately in recent months.”

"The modest recovery in global output was driven primarily by developing economies, which recorded growth rates above the global average, particularly between 2022 and 2023," the document notes.

Strengthening Africa’s global resilience to growth “involves acting on external and internal factors, including reducing macroeconomic vulnerabilities and improving institutional and governance frameworks".

"More than acting as an effective buffer to insulate the continent from the adverse impact of global volatility, the effective implementation of the African Continental Free Trade Area will contribute to accelerating the process of structural transformation of African economies," the document anticipates.

More than 3 delegates, including heads of state and government from Africa and the Caribbean, launched the Afreximbank Annual Meetings (AAAm2024) and the 3rd African-Caribbean Trade and Investment Forum (ACTIF2024) today in Nassau.

The two events take place under the theme “Masters of Our Destiny: Economic Prosperity on the Platform of Global Africa” and will have discussion panels focused on defining solutions to the challenges affecting the economies of Africa and the Caribbean.

The organization announced that it intends to conclude more than 25 investment agreements in what will be a first step towards the creation of an Afro-Caribbean Free Trade Agreement.