The war in Ukraine is having a negative impact on Sub-Saharan Africa (SSA) in several ways. The increase in food prices, coupled with the effects of climate change and conflict, is leading to food insecurity and high inflation, which is causing monetary tightening across the region. Many countries in SSA have high financing needs and are facing worsening financing conditions. The high cost of living, monetary tightening, and global economic slowdown are all contributing to slowing economic growth in the region. In some countries, political instability has increased due to factors such as military coups, and there have been protests over the high cost of living in several countries. High budget deficits in recent years have led to high levels of public debt, which is increasing debt vulnerabilities due to higher interest rates and a stronger dollar. The outlook for SSA is vulnerable to risks such as a prolonged war in Ukraine, climate change, and the global economic slowdown.
Learn more here: https://atradius.ca/reports/atradius-regional-economic-outlook-ssa-december-2022.html
