Africa faces sharper growth slowdown if Middle East conflict drags on, report warns
A UN report warns that the ongoing Middle East conflict may lead to a significant economic slowdown in African economies, impacting trade routes and energy supplies. The conflict could result in a 0.2 percentage point GDP loss in 2026 and a cost-of-living crisis due to increased fuel and food prices.
The Middle East conflict poses a risk to African economies. A UN report highlights potential disruptions to trade, energy, and fertiliser supplies. This could lead to a sharper economic slowdown. Certain countries may benefit from higher oil and gas prices. However, the broader impact involves logistic shifts and increased geopolitical competition. The report advises strengthening domestic revenue collection and implementing urgent economic measures to mitigate the crisis's effects.
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