• Worries over slowing long-term global growthBut Nigeria still fares better when compared with South Africa in terms of the shortfall in retained investment in recent years.
It offers the first comprehensive assessment of long-term potential output growth rates in the aftermath of the COVID-19 pandemic and the Russia-Ukraine war. “Following the commodity price collapse of 2014-16, SSA suffered the sharpest investment growth slowdown among EMDE regions, from an average of 5.9 per cent a year in 2011-2014 to a decline of 0.3 per cent a year in 2015-2017, well below the long-term average annual growth rate of 4.6 per cent.
It noted that an ambitious policy push is urgently required to boost productivity and labour supply, ramp up investment and trade and harness the potential of the services sector. It noted that the decline would be equally steep for developing economies, where it is expected to fall from six per cent a year between 2000 and 2010 to four per cent a year in the remainder of this decade.