{"id":158,"date":"2025-08-25T03:47:56","date_gmt":"2025-08-25T03:47:56","guid":{"rendered":"https:\/\/timothyshava127.webcoreweb.com\/?p=158"},"modified":"2025-08-25T10:18:28","modified_gmt":"2025-08-25T10:18:28","slug":"development-financing-is-navigating-a-turbulent-global-economy","status":"publish","type":"post","link":"https:\/\/zambeziinstitute.org\/?p=158","title":{"rendered":"Development Financing is Navigating a Turbulent Global Economy."},"content":{"rendered":"<p>Africa&#8217;s development financing landscape is navigating a complex and turbulent global economic environment. While economic growth is projected to edge up from 3.3% in 2024 to 3.5% in 2025, many countries are grappling with high debt distress risks and inflation, with some African countries not yet experiencing the decline in inflation seen across the world. The European Investment Bank&#8217;s (EIB) financial conditions index for Africa shows a loosening of conditions after a severe tightening period from mid-2021 to mid-2023, but high yields remain a refinancing risk for some countries.<span class=\"button-container hide-from-message-actions ng-star-inserted\">\u00a0 \u00a0<\/span><\/p>\n<p>A major structural constraint remains the lack of access to finance, with private sector credit in Sub-Saharan Africa declining from 56% of GDP in 2007 to 36% in 2022, which has contributed to slower private sector development and industrialization. The IMF recommends that nations tackle urgent socioeconomic crises while building resilience to future shocks, highlighting the need for a balanced approach to fiscal management in turbulent waters. This complex picture shows that while there are signs of resilience, Africa&#8217;s development financing journey requires a strategic approach that addresses both immediate economic challenges and long-term structural constraints to build a more resilient and sustainable future.<span class=\"button-container hide-from-message-actions ng-star-inserted\">\u00a0 \u00a0<\/span><\/p>\n<div class=\"container ng-tns-c1410102570-185 hide\">\n<div class=\"carousel-container ng-tns-c1410102570-185\">\n<div class=\"carousel-content ng-tns-c1410102570-185\">\n<div class=\"sources-carousel-source ng-tns-c1410102570-185 hide ng-star-inserted\" data-test-id=\"sources-carousel-source\"><\/div>\n<\/div>\n<\/div>\n<\/div>\n<div class=\"container ng-tns-c1410102570-184 hide\">\n<div class=\"carousel-container ng-tns-c1410102570-184\">\n<div class=\"carousel-content ng-tns-c1410102570-184\">\n<div class=\"sources-carousel-source ng-tns-c1410102570-184 hide ng-star-inserted\" data-test-id=\"sources-carousel-source\"><\/div>\n<div class=\"sources-carousel-source ng-tns-c1410102570-184 hide ng-star-inserted\" data-test-id=\"sources-carousel-source\"><\/div>\n<\/div>\n<\/div>\n<\/div>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Africa&#8217;s development financing landscape is navigating a complex and turbulent global economic environment. While economic growth is projected to edge up from 3.3% in 2024 to 3.5% in 2025, many countries are grappling with high debt distress risks and inflation, with some African countries not yet experiencing the decline in inflation seen across the world. [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":159,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[10],"tags":[],"class_list":["post-158","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-development-financing"],"_links":{"self":[{"href":"https:\/\/zambeziinstitute.org\/index.php?rest_route=\/wp\/v2\/posts\/158","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/zambeziinstitute.org\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/zambeziinstitute.org\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/zambeziinstitute.org\/index.php?rest_route=\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/zambeziinstitute.org\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=158"}],"version-history":[{"count":2,"href":"https:\/\/zambeziinstitute.org\/index.php?rest_route=\/wp\/v2\/posts\/158\/revisions"}],"predecessor-version":[{"id":591,"href":"https:\/\/zambeziinstitute.org\/index.php?rest_route=\/wp\/v2\/posts\/158\/revisions\/591"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/zambeziinstitute.org\/index.php?rest_route=\/wp\/v2\/media\/159"}],"wp:attachment":[{"href":"https:\/\/zambeziinstitute.org\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=158"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/zambeziinstitute.org\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=158"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/zambeziinstitute.org\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=158"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}