IMF sees turnaround in investor appetite for Africa 

The International Monetary Fund has said it sees a turnaround in investor appetite for Africa after years of turmoil. 

Daniel Leigh, division chief of IMF Research Department, said this at the April 2024 World Economic Outlook press briefing on Tuesday.

He said: “After four years of quite a lot of turmoil, this is the year where we really see a turnaround in investor appetite for Africa. We have had Côte d’Ivoire issuing the Eurobond, Benin, Kenya spreads easing. So this is going to ease some of the pressure on these economies. Also, as inflation starts to come down, inflation is coming down as those past shocks fade and also thanks to the tight policies that have been implemented. 

“Of course, there’s a lot of risks around this scenario in the context of elections. There could be more spending in the short term that could provide a boost, but there are serious potential disruptions later on, if there’s an easing, as in other parts of the world, this is our assessment.” 

There’s the upside risk from further acceleration of reforms to help people get jobs and attract more foreign investment, according to the report.