IMF Notes

Sub-Saharan Africa is home to nearly half of the world’s fragile and conflict-affected states, where weak institutions and social cohesion, governance failures, and economic instability trap millions in poverty. Some countries have transitioned out of extreme fragility by implementing sound macroeconomic policies, diversifying the economy, and strengthening institutions. Sustaining these reforms, however, is challenging in the context of erratic growth, political instability, exposure to natural disasters, and heavy resource dependency—which tends to heighten vulnerability to price volatility and governance challenges. Meanwhile, weak domestic revenue mobilization and declining aid further hinder development. Without reforms and continued international support, fragility risks worsening regional instability and economic disruptions with global repercussions.