No Doom For Sub Saharan Africa In A New Multipolar World

African solutions

“Sub-Saharan Africa could stand to lose the most if the world were split into two isolated trading blocs centered around China or the United States and the European Union. In this severe scenario, sub-Saharan African economies could experience a permanent decline of up to 4 percent of real gross domestic product after 10 years according to our estimates—losses larger than what many countries experienced during the Global Financial Crisis”.

The above is the introduction to a piece from the IMF on the future of Sub Saharan Africa in the event of great economic and sociopolitical changes in the world order.

Quite the opposite. the fallout of new multipolar world will not spell doom and gloom for SSA growth prospects but rather boost it. Reason for this postulation is the fact that once SSA countries become able to pay for goods and other technology transfers in their currencies factoring the end of the petrodollar, the effect will be the new availability of funds from these countries for developmental purposes.

Monies will be there for infrastructure, there will be funds for economic planning and effective institution building and welfare of the worse-off, the calculus and end result of all these is that countries of the SSA will be free to choose amongst contending global powers of which the result will only be positive for them.

The chance to identify who is really here to ensure win-win development for all parties is a huge opportunity to grab amidst the ongoing new scramble for Africa.

https://www.imf.org/en/News/Articles/2023/04/27/cf-economic-growth-in-ssa-could-permanently-decline-if-geopolitical-tensions-escalate#.ZFFSScfz-Jg.twitter

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