Sub-Saharan Africa: One Planet, Two Worlds, Three Stories.

M2 PRESSWIRE-October 22, 2021-: Sub-Saharan Africa: One Planet, Two Worlds, Three Stories

(C)1994-2021 M2 COMMUNICATIONS

RDATE:21102021

Sub-Saharan Africa is projected to grow by 3.7 percent in 2021 and 3.8 percent in 2022 -- a welcome but relatively modest recovery, suggesting that divergence with the rest of the world will persist over the medium term; The crisis has highlighted key disparities in resilience between countries in sub-Saharan Africa and has also exacerbated preexisting vulnerabilities and inequality within each country. Moreover, food price inflation threatens to jeopardize previous gains in food security and exacerbate social and political instability; As the pandemic continues, authorities face an increasingly difficult policy environment, with rising needs, limited resources, and difficult tradeoffs. Saving lives remains the top priority, but there is also an urgent need for spending prioritization, revenue mobilization, enhanced credibility, and an improved business environment; International solidarity and cooperation remain vital, not only on vaccination but also on addressing other critical global issues, such as climate change.

Sub-Saharan Africa's economy is set to recover in 2021 -- a marked improvement over the extraordinary contraction of 2020. This rebound is most welcome and primarily results from a favorable external environment, including a sharp improvement in trade and commodity prices. In addition, improved harvests have lifted agricultural production. Yet, the outlook remains highly uncertain as the recovery depends on the progress in the fight against COVID-19 and is vulnerable to disruptions in global activity and financial markets, the International Monetary Fund (IMF) said in its latestRegional Economic Outlook for Sub-Saharan Africa.

"As sub-Saharan Africa navigates through a persistent pandemic with repeated waves of infection, a return to normal will be far from easy," stressed Abebe Aemro Selassie, Director of the IMF's African Department. "In the absence of vaccines, lockdowns and other containment measures have been the only option for containing the virus.

"At 3.7 percent this year, the recovery in sub-Saharan Africa will be the slowest in the world-as advanced markets grow by more than 5 percent, while other emerging markets and developing countries grow by more than 6 percent. This mismatch reflects sub-Saharan Africa's slow vaccine rollout and stark differences in policy space.

"Real per...

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