Uganda among top 10 countries projected to attain high growth
The economy is expected to grow at 6.2 percent this year, according to World Bank data
What you need to know:
- In East Africa, Rwanda will have the highest growth rate of 7.8 percent, followed by Uganda at 6.2 percent and Tanzania at 5.8 percent
The World Bank Global Economic Prospects 2025 has put Uganda’s growth at 6.2 percent, placing the country among the top economies that will register high economic growth in sub-Saharan Africa.
The report shows that other countries, which will attain high growth in 2025 include Senegal (9.7 percent), Niger (8.5 percent), Rwanda (7.8 percent), Ethiopia (6.5 percent) and Benin (6.4 percent).
Others are Côte d'Ivoire (6.4 percent), Zambia (6.2 percent), Zimbabwe (6.2 percent) and Guinea (6 percent).
The growth, the report notes, is expected to have a positive impact in terms of increased earnings from exports, inflow of foreign direct investments, and increase in the income per capita of citizens.
In East Africa, Rwanda will have the highest growth rate of 7.8 percent, followed by Uganda at 6.2 percent and Tanzania at 5.8 percent. Somalia will grow at 5.5 percent, DR Congo (5.1 percent), Kenya (5 percent), Burundi (3.5 percent) and South Sudan (-11.4 percent).
The report further notes that at the sub-continental level, growth outlook in sub-Saharan Africa is expected to firm to 4.1 percent in 2025 and 4.3 percent in 2026, as financial conditions ease alongside further reductions in inflationary pressuers .
However, the World Bank noted that following weaker-than-expected regional growth last year, growth projections for 2025 have been revised upward by 0.2 percent and by 0.3 percent in 2026.
The growth trajectory, however, is expected to be unevenly distributed among sub-Saharan Africa economies, with growth in the region’s largest two economies - Nigeria and South Africa - continuing to lag at 3.5 percent and 1.8 percent in 2025, respectively.
The World Bank further noted that per capita income in sub-Saharan Africa is projected to expand by an average of 1.7 percent between 2025 and 2026, which, however, is below the average growth rate in emerging markets and developing economies.
However, the World Bank noted that there were existing risks to the outlook such as weaker global growth on account of heightened uncertainty, sharper-than-expected economic slowdown in China, and worsening political instability and an escalation of violent conflicts in sub-Saharan Africa.
Other risks include persistent inflation due to the escalation of the conflict in the Middle East and Sudan, which could impact the cost of fuel and food and vulnerability to extreme weather events.
