Policy-makers seek bold reforms to strengthen Africa’s economic resilience

Economy

SENIOR African and European policy-makers have called for bold economic reforms to strengthen Africa’s resilience, attract investment and boost domestic revenue mobilisation.

They made the call at a high-level plenary discussions at the African Development Bank (AfDB) Group’s 2026 Annual Meetings in Brazzaville, Republic of Congo.

The experts warned that rising debt-servicing costs, climate shocks and declining concessional financing continued to limit fiscal space in many African countries.

AfDB President, Dr Sidi Ould Tah, said Africa’s economic outlook offered reasons for optimism in spite global uncertainty.

“However, we must remain clear-headed and vigilant, both to consolidate the current performance of our economies and to address the structural challenges of financing our development,” he said.

Baroness Jenny Chapman, the United Kingdom Minister of State for International Development and Africa, said global financing models for Africa must shift from aid dependency to investment partnerships.

“The idea that we can continue in the same way simply does not make sense anymore,” she said.

Chapman also called for reforms to global credit rating systems, arguing that inflated risk perceptions increased borrowing costs for African countries.

Tanzania’s Prime Minister, Dr Mwigulu Nchemba, said his country financed more than 70 per cent of its national budget through domestic revenues.

He attributed the performance to improved tax systems, digitalisation and prudent public spending.

Botswana’s Vice-President and Finance Minister, Ndaba Gaolathe, stressed the importance of institutional efficiency, warning that bureaucratic delays discouraged investment.

“Red tape is the same thing as destroying capital,” he said.

The UN Population Fund Executive Director, Dr Diene Keita, urged African governments to prioritise investments in women, youth and human capital.

“If Africa wants inclusive growth and wants to fight inequality, it must invest in human capital and gender equality,” she said.

The Executive Secretary of the UN Economic Commission for Africa, Claver Gatete, described Africa’s low tax-to-GDP ratio as a major weakness.

He urged countries to strengthen domestic revenue collection and accelerate implementation of the African Continental Free Trade Area (AfCFTA).

The discussions concluded with calls for stronger institutions, deeper regional integration and financing systems tailored to Africa’s development needs. (NAN)

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Tags: AFCTA AfDB