Andrew Dabalen said a form of stagflation taking hold was one of the biggest concerns. Growth is expected to reach 3.1% in 2023, the bank has said, while inflation is in the double digits in many parts of the continent.The outlook for Africa's debt sustainability remains “cloudy” as low growth and high inflation challenge the stability of many economies across the continent, the World Bank's Africa chief economist said on Monday.
Andrew Dabalen said a form of stagflation taking hold was one of the biggest concerns. Growth is expected to reach 3.1% in 2023, the bank has said, while inflation is in the double digits in many parts of the continent. Adding to the concerns, almost half of the countries in Sub Saharan Africa are in debt distress or at high risk of being in debt distress, according to the World Bank.
“We don't expect the number to grow beyond what we have now,” Dabalen said in an interview with Reuters, though he cautioned that changing global economic conditions continued to present risks to that outlook.