The high-level engagement brought together government officials, international partners and development institutions to assess Africa’s economic outlook and financing needs. The report highlights stronger growth prospects for 2026, supported by domestic demand, infrastructure investment and regional trade expansion.
However, participants noted that structural challenges remain. These include rising debt servicing costs, climate-related shocks and declining concessional financing, which continue to constrain fiscal space across many countries.
AfDB President Sidi Ould Tah said Africa’s economic outlook offers reason for optimism, but stressed the need to address underlying financing challenges and strengthen economic resilience.
Representatives from partner countries emphasised the need to shift from traditional aid models towards investment-driven approaches. Baroness Jenny Chapman, Minister of State for International Development and Africa and the AfDB’s Governor indicated a move toward partnerships aimed at attracting private capital, alongside calls to reform global credit rating systems to reduce borrowing costs for African countries.
Tanzania’s Prime Minister, Dr Mwigulu Nchemba, highlighted its focus on domestic resource mobilisation, noting that more than 70% of its national budget is financed through internal revenues. Officials attributed this to improved tax systems, digitalisation and visible infrastructure investment, which has strengthened public confidence.
Botswana’s Vice-President and Finance Minister, Ndaba Gaolathe, pointed to implementation challenges, saying institutional capacity and bureaucratic delays can limit investment. The country said it has prioritised a reduced number of projects that are considered ready for execution.
Other participants highlighted the importance of maintaining strong financial institutions, particularly in light of declining global development assistance and continued economic vulnerabilities.
The United Nations Population Fund’s Executive Director, Dr Diene Keita, emphasised the role of human capital, urging greater investment in women and youth as part of economic development strategies aimed at reducing inequality.
The Executive Secretary of the Economic Commission for Africa, Claver Gatete, noted that Africa’s tax-to-gross domestic product ratio remains low, at about 16%, and called for efforts to increase this to strengthen fiscal capacity. The organisation also highlighted the importance of advancing regional trade under the African Continental Free Trade Area.
Participants agreed that regional integration remains a key factor in attracting investment, with larger, more connected markets seen as more competitive globally.
The discussions concluded with a focus on strengthening national institutions, improving regulatory frameworks and aligning policies with continental priorities to support sustainable and inclusive growth.
–ChannelAfrica–
