Zambia Economic Brief, June 2016, Issue 7 : Beating the Slowdown--Making Every Kwacha Count
The external environment confronting Sub-Saharan Africa (SSA) is expected to remain difficult in the near term. Commodity prices are expected to remain low, and in 2016, growth in the region isforecast to drop to 2.5 percent from 3.0 percent in 201...
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| Format: | Report |
| Language: | English en_US |
| Published: |
World Bank, Lusaka
2016
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| Online Access: | http://documents.worldbank.org/curated/en/2016/06/26511061/zambia-economic-brief-beating-slowdown-making-every-kwacha-count http://hdl.handle.net/10986/24661 |
| Summary: | The external environment confronting
Sub-Saharan Africa (SSA) is expected to remain difficult in
the near term. Commodity prices are expected to remain low,
and in 2016, growth in the region isforecast to drop to 2.5
percent from 3.0 percent in 2015 (World Bank forecast).
There is considerable variation in economic performance
across countries, with the slowdown concentrated among the
region's largest commodity exporters. Growing economic
vulnerabilities, amid weakened policy buffers, continue to
pose challenges for policy makers. The balance of risks to
the outlook remains tilted to the downside. The global risks
include: (i) a sharper than expected slowdown in China (as
the country rebalances growth toward consumption and
services), (ii) a further decline in commodity prices, and
(iii) tighter global financing conditions that would result
in higher borrowing costs and reduced sovereign bond access
for emerging and frontier countries. On the domestic front,
delays in adjustment to external shocks in affected
countries would create policy uncertainties that could weigh
on investor sentiment and weaken the recovery. |
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