The International Monetary Fund (IMF) has slashed its forecast for Nigeria’s economic growth for 2024 from 3.1% declared in October to 3.0 representing a 0.1% decline.

The fund stated this in its revised World Economic Outlook for 2024 and 2025.

According to the report, Sub-Saharan Africa’s economy will grow by 3.8% in 2024 and 4.1% in 2025- a drop from the 4.0% economic growth or 2024 initially forecasted in October.

The IMF also slashed South Africa’s economic growth prospects by 0.8% from the initial projection of 1.8% in October 2023. It noted that rising challenges in the nation’s transport sector will stifle economic growth this year.

The Fund stated, “In sub-Saharan Africa, growth is projected to rise from an estimated 3.3% in 2023 to 3.8% in 2024 and 4.1% in 2025, as the negative effects of earlier weather shocks subside, and supply issues gradually improve. The downward revision for 2024 of 0.2% point from October 2023 mainly reflects a weaker projection for South Africa on account of increasing logistical constraints, including those in the transportation sector, on economic activity.”

World economic growth projection