Home Accidents Africa’s economy registers a huge US$29billion loss as coronavirus hits continent

Africa’s economy registers a huge US$29billion loss as coronavirus hits continent

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African countries have so far lost an estimated $29 billion to the coronavirus economic disruption, an amount equal to Uganda’s gross domestic product (GDP), according to UN estimates.

The United Nations Economic Commission for Africa (ECA) has in its latest report predicted that coronavirus will shave 1.4 per cent off Africa’s $2.1 trillion GDP, owing to widespread disruption of business on the continent and across the world.

The report projects that the continent’s annual economic growth is likely to drop from 3.2 per cent in February to 1.8 per cent in March, warning that it could worsen in the coming months as more countries report coronavirus infections within their borders.

“Africa may lose half of its gross domestic product with growth falling due to a number of reasons which include the disruption of global supply chains,” said the ECA Executive Secretary, Vera Songwe, in a statement.

Uganda’s GDP was estimated at about $28.5 billion at the end of last year, indicating that the estimated losses so far are equivalent to the country’s annual production.

Thirty-six of Africa’s 54 countries have confirmed more than 700 coronavirus positive cases, while globally over 200,000 people have been infected with Covid-19, resulting in over 9,000 deaths as of Friday, March 20.

Source: The Citizen TANZ

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