Africa is expected to be the world’s fastest-growing region in 2026, driven by a cluster of economies expanding well above the global average. According to recent IMF forecasts, South Sudan and Guinea will top growth charts, each exceeding 10%, while East African nations such as Rwanda, Uganda, and Ethiopia are projected to maintain steady expansion of around 7%.
The continent continues to host most of the world’s best-performing economies. Data from the African Development Bank show that 11 of the 20 fastest-growing countries are African, a reflection of both post-pandemic rebounds and ongoing structural reforms. South Sudan’s economy is projected to expand by roughly 22%, spurred by resumed crude oil exports and relative political stabilization. Guinea, buoyed by surging demand for bauxite and iron ore, is likewise set for vigorous growth.
East Africa remains a bright spot, with policy reforms and improved fiscal management sustaining resilience across several markets. The IMF’s Regional Economic Outlook highlights Benin, Côte d’Ivoire, Ethiopia, Rwanda, and Uganda among the most dynamic economies worldwide. Across Sub-Saharan Africa, output is forecast to grow by 4.1% in 2025 and rise further to 4.4% in 2026, outpacing most advanced economies.
Rising Debt Threatens Momentum
Beneath the upbeat figures lies a growing strain from public debt. African governments are expected to spend nearly $95 billion servicing external and domestic obligations in 2026—an amount that risks crowding out vital investment. Kenya, for instance, is allocating about one-fifth of its entire budget to debt repayment, with total servicing costs forecast to reach 1.6 trillion shillings in the 2026–27 fiscal year.
Economists caution that despite a strong outlook, several headwinds could undermine progress. Theophilus Acheampong, an economist and advisor to Ghana’s finance ministry, notes that climate disruptions, political uncertainty, and tightening global credit conditions could all derail projections. “Growth alone is not enough without debt sustainability,” he observes.
Infrastructure Still Lags
Long-term growth also depends on fixing infrastructure bottlenecks that continue to constrain productivity. Electricity access remains uneven, with the Central African Republic among the lowest globally—only 17.6% of its population had power in 2023. Insufficient energy access continues to deter industrial expansion and small-business activity across large parts of the continent.
Nonetheless, investment in transport infrastructure is showing signs of acceleration. Airport construction and modernization projects are underway in countries such as Burkina Faso, Nigeria, Uganda, Rwanda, Tanzania, Ethiopia, Ghana, and Angola, signaling renewed confidence in regional mobility and trade capacity.
Africa’s economic surge thus stands at a crossroads: the continent could capture a historic share of global growth, or see its potential eroded by debt and underinvestment. The difference will depend on governments’ ability to balance fiscal discipline with the long-term infrastructure commitments that sustained growth demands.
