World Trade Organization declared that exported goods from Africa are projected to grow by 5.3% on an annual basis in comparison with the rest of the world, according to the World Trade Organization’s trade outlook for 2024.
According to the report, exports on the continent will be higher than they were before the onset of the pandemic, but imports are expected to remain weak as a result of increasing energy and commodity prices. The continent’s imports decreased by 5 per cent between 2019 to 2023 the worst in the world.
The report reads, “If current projections hold, Africa’s exports will grow faster than those of any other region in 2024, up 5.3% from a low base since the continent’s exports remained depressed after the COVID-19 pandemic.”
Africa’s exports of digital goods have grown, although they only represent 0.9% of the total export volume.
In addition, the report projects that global GDP growth at market exchange rates will remain relatively stable over the next two years at 2.6% in 2024 and 2.7% in 2025, after a decline to 2.7% in 2023 from 3.13% in 2022.
However, the Commission was concerned by certain risks in particular about political instability and conflicts in Europe and the Middle East as well as associated effects on world supply chains linked to climatic change at the Panama Canal.
The report also projects an increase in food and energy prices, coupled with elevated interest rate levels across advanced economies, as other risks that could dampen the resurrection of global trade from its negative growth in 2023.
The WTO Director-General Ngozi Okonjo-Iweala said, “We are making progress towards global trade recovery, thanks to resilient supply chains and a solid multilateral trading framework — which are vital for improving livelihoods and welfare. It’s imperative that we mitigate risks like geopolitical strife and trade fragmentation to maintain economic growth and stability.”
