A mixed end to 2017

This year saw a tepid, stop-start economic recovery across most of Africa, and figures from recent months suggest that 2017 ended with a whimper rather than a bang. Growth seems to have picked up modestly in the region’s two largest economies, with activity data from both Nigeria and South Africa suggesting that output strengthened in Q4. But the available data suggest that growth faltered almost everywhere else. In particular, the latest figures from Kenya point to a particularly pronounced slowdown in Q3 and Q4. High inflation in Angola, meanwhile, pushed policymakers there to hike interest rates again. Perhaps the biggest news of the month is yet to come; South Africa’s ruling ANC will select a new party leader at its conference this weekend. The choice will be a key sign of how the party – which is struggling under the weight of corruption scandals – intends to renew itself in the face of serious economic challenges and the approach of general elections in 2019.