The war in Ukraine is still raging and that brings a lot of implications for the world including Africa.
Th continent’s economic outlook is said to be very vulnerable to higher food and fuel prices prompted and deep in tourism revenues.
According to the International Monetary Fund (IMF), Africa also faces diminished access to financial services.
Kristalina Ivanova Georgieva-Kinova, the IMF managing director told African finance ministers and central bank governors at a meeting on Thursday that her outfit is willing to help Africa in these difficult moments.
“The war in Ukraine is devastating the lives of millions of people and severely affecting the Ukrainian economy. The war and the unprecedented sanctions imposed on Russia are having far-reaching consequences. They come at a delicate time for Africa,” Georgieva said.
According to the IMF boss, “This is a critical moment for the international community and policymakers to come together, and I was very encouraged by the strong interest from African policymakers in continuing our dialogue on policy responses. I noted, in particular, significant concerns about the limited domestic policy space to sustainably address the ongoing crises.”
“At this difficult moment, the Fund stands ready to help African countries address the repercussions of the war, and to help design and implement reforms through our policy advice, capacity development, and lending. Recent reforms to the Fund’s lending toolkit provide greater flexibility to help meet financing needs,” Georgieva further said.
At a time when Africa’s recovery is lagging, war in 🇺🇦 will have 4 likely impacts on Africa:
1️⃣ higher food prices
2️⃣ higher fuel prices
3️⃣ lower tourism revenues
4️⃣ access to intl capital markets
Statement from meeting w/@UNECA & African policymakers. https://t.co/R0gi5vRDy3
— Kristalina Georgieva (@KGeorgieva) March 10, 2022
Already many African countries are reeling under high fuel prices due to war in Ukraine and with the crisis yet to be resolve, there are concerns the economic impact on many African countries could worsen.