In spite of economic growth recovery, Africa still needs to curb poverty and social inequality, according to UN Economic Commission for Africa.
Presenting an overview of recent Economic and Social Conditions in Africa at the ongoing 41st meeting of the Committee of Experts in Addis Ababa, Macroeconomic Policy Division Director at ECA, Adam Elhiraika stated “In Africa, growth dwindled from 4.6 per cent in 2021 to 3.6 per cent in 2022.”
With slower economic growth and high inflation, many African countries continue hardly to strengthen the continent’s development after experiencing a series of severe and mutually reinforcing shocks, a press release sent to ENA said.
He added that the COVID-19 pandemic, the Russia-Ukrainian war and the resultant food and energy hurdles, rising inflation as well as debt tightening, and natural disasters brought some serious developmental challenges on the continent such as poverty and inequality rates and lack of decent jobs.
According to ECA, in 2022 an additional 18 million new poor emerged in Africa. The continent had more than half of the highest proportion of the world’s poor at 54.8 per cent.
This is alarming because 546 million people in Africa, which is more than half of the continent’s population, were living in poverty last year, it was indicated.
It was noted that women and girls remain particularly vulnerable and the continent is facing a potential reversal of the hard-won gains made on gender equity.
Moreover, inequality which remains pervasive across all African sub-regions, particularly high in Southern Africa is another challenge.
ECA estimates that Africa is anticipated to grow by 4.1 percent in 2023; however, it might face headwinds, especially with an unfavorable external environment created by the recession in both the United States and the Eurozone and which are expected to weigh on commodity prices.
“Fostering recovery and transformation in Africa to reduce inequalities and vulnerabilities” is the theme of the ongoing meeting in Addis Ababa where countries were urged to pursue pro-poor and inclusive macroeconomic policies and ensure access to finance for an inclusive recovery.
Source: Ethiopian News Agency