International Monetary Fund (Washington, DC)
- The regional outlook is broadly unchanged since the June 2020 Regional Economic Outlook Update. In 2020, economic activity is expected to contract by 3.0 percent, but then recover by 3.1 percent in 2021. This represents a drop in real per capita income of 4.6 percent over 2020-21, which is larger than in other regions.
- This outlook is subject to significant downside risks, particularly regarding the path of the pandemic, the resilience of the region’s health systems, and the availability of external financing.
- Policy makers aiming to rekindle their economies have limited resources at their disposal and will face some difficult choices. The region faces a significant financing gap. Without significant additional external financial assistance, many countries will struggle to maintain macroeconomic stability and meet the basic needs of their people.
- The need for transformative reforms to promote resilience—including revenue mobilization, digitalization, and fostering better transparency and governance—is more urgent than ever.
Washington, DC – With difficult recovery ahead, policy makers have fewer resources at their disposal as they cautiously lift restrictions and reopen economies. Transformative reforms are urgently needed for rekindling resilient growth, which will be difficult without external support, the International Monetary Fund (IMF) said in its latest Regional Economic Outlook for Sub-Saharan Africa.