Preliminary estimates indicate that Benin’s economic growth “will accelerate further mainly because of dynamic port activity,” according to a note from the International Monetary Fund (IMF).
“Economic activity remained strong in 2017 (with an estimated growth of 5.8%), supported by high public investment, record production and processing of cotton and the recovery of the Nigerian economy. The current account deficit has widened in 2017 due to an increase in imports of goods, reflecting the increase in public investment, “said the organization in a press release issued Monday, October 29 after a mission in the country.
He added that the medium-term outlook remains favorable. “Economic growth is expected to remain above 6 percent over the 2019-23 period, driven by booming private investment and higher demand from Nigeria,” the agency predicts.
In a report published in 2017 on Benin, it noted a dependence of the economy on neighboring Nigeria, stating that a one-point reduction in the GDP growth rate of Africa’s largest economy , led to a 0.3 point drop in Benin’s growth rate.
