Nigeria's economy showed mixed signals in Q1 2025. GDP growth reached 3.40% in 2024, with projections for 2025 at 3.70%. Nigeria’s trade surplus contrasts with South Africa’s Q1 2025 deficit (-$3.1bn), but trails Egypt’s export-led recovery (15% YoY growth). Continent-wide, digitalization and non-oil exports remain critical for resilience against commodity shocks
Resilience at a Crossroads. South Africa's macroeconomic landscape stands at a critical juncture. Anchored inflation, fluctuating capital flows, and bold policy initiatives coexist with mounting global trade tensions, domestic fiscal strain, and political volatility. While global investors continue rotating out of emerging markets, South Africa finds itself defending against a multifaceted capital exodus. Yet within this pressure lies opportunity.
Economic Insights: Investing in African Stock Markets (24/03/25)
This article discusses African stock markets, focusing on low IPO activity due to regulatory, market structure, and ecosystem issues. We emphasise the growth potential of African markets, driven by factors like a rising middle class, improved governance, and technological advancements such as mobile money. To boost IPO activity, solutions include attracting domestic retail investors, reducing IPO compliance costs, improving liquidity, and enhancing transparency and reporting standards. We suggest technological leapfrogging to overcome barriers and build stronger, more dynamic financial markets across Africa.
