The World Bank warned that the post-Covid-19 recovery in Nigeria and other sub-Saharan African countries would be long and abrupt if fiscal reforms were not implemented to improve growth to cope with the economic effect of the pandemic.
The bank said African economies would contract by 3. 3% by the end of 2020, while the continent would suffer a deeper budget deficit of about 3. 5 percentage points.
Albert Zeufack, world bank’s leading economist for the African region, launched the new Africa Pulse, the region’s biennial macroeconomic analysis.
Speaking in the publication of the report on “Africa’s Pulse: Leading the Road to Recovery,” Zeufack said exposure to African countries’ debt is expected to increase to 67% by 2021, in order to increase borrowing through regional governments and emerging debt service costs. .
“What is transparent in our report is that we have a sharp contraction in economic activity. The Covid-19 has wreaked havoc on African economies and threatens to erase a decade of hard-won economic progress on the continent. GDP consistent with the capita will fall” to almost 6% by 2020 and by 2021, GDP consistent with the capita would have fallen to its point in 2007, thirteen years of deleted progress.
“As they entered the crisis, African countries were already facing weak establishments and a deterioration in the quality of governance that will make it difficult to catch up and release the kind of recovery needed.
“A number of African countries, in fact most of them, will emerge from the crisis with a budget deficit and rising debt. The budget deficit will accumulate through 3. 5 per cent emissions across the continent. Debt will succeed by 67% through 2021 and this makes it dangerous,” he said.
However, he noted that countries such as Nigeria, Ethiopia and South Africa are already taking positive action and seized the opportunity of the crisis to drive reforms and investments that would be for long-term development.
foreground
The University Academic Staff Union, ASUU, has started its last strike since 23 March 2020.
Chinese President Xi Jinping issued a stern warning Friday to the “invaders” of Beijing Array defense forces.
Lekki Gardens, Nigeria’s first Pan-African real estate investment firm, is modernizing and beautifying some of its arrangements.
Toyota Nigeria Limited CEO TNL, Mr. Kunle Ade Ojo, indicated that the company would present Array. .
By Luminous Jannamike Following protests of police brutality and extrajudicial executions on Monday in theArray. .
By Peter Egwuatu The stock market on Monday posted a new high after five months of low activity, while the benchmark, NArray. .
Swedish telecoms manufacturer Ericsson, one of Europe’s leading 5G suppliers, reported better-than-expected sales on Wednesday.
By Owei Lakemfa The president and commander-in-chief of the Armed Forces, Muhammadu Buhari, believes nigerians are the Array.
Donald Regan Secretary of the Treasury of the United States (the equivalent of our own Minister of Finance), from 1981 to 1985, and head of the Array.
In the old days, academics in public schools number one gained a strong dose of popular wisdom in addition to their categories.
This holiday season, I intended to embark on critical research on theological strength.
It turns out that the goal of this flight is to avoid the efforts we are making to mass produce the first madman locally. . .
Denrele Animasaun Never be afraid of your voice for the honesty and facts and compassion that oppose injustice and lies.