South Africa Set to Topple Nigeria to Regain Mantle as Continent’s Biggest Economy

South Africa is set to briefly overtake Nigeria and Egypt as the continent’s largest economy next year, International Monetary Fund forecasts show.

The IMF’s World Economic Outlook envisions South Africa’s gross domestic product reaching $401 billion based on current prices in 2024, compared with Nigeria’s $395 billion and Egypt’s $358 billion. Africa’s most industrialized nation is expected to only hold the top spot for a year before it once again lags Nigeria, and then fall to third place behind Egypt in 2026, according to the report, which was released last week.

While IMF data shows Nigeria’s economy has eclipsed South Africa’s since 2018, its fortunes have dimmed along with a decline in production of oil and it has been grappling with runaway inflation and a plunge in the value of the naira.

Source: BNN Bloomberg