By: Kebba Ansu Manneh
The Gambia’s economy is outperforming much of Sub-Saharan Africa, with the International Monetary Fund (IMF) projecting a robust 6 percent GDP growth for 2025—well above the regional average of 4.1 percent.
Patrick Gitto, IMF Resident Representative in The Gambia, announced the figure during the launch of the IMF’s Regional Economic Outlook (REO) for Sub-Saharan Africa Fall 2025, held on Thursday at a hotel in Banjul.
“The Gambia stands well above the regional average, and this is something to notice,” Gitto said. “This is no surprise. It is supported by construction, tourism, and agriculture.”
He noted that the latest projection represents an improvement over the 5.7 percent forecast issued in April 2025, reflecting strong growth in tourist arrivals, construction activity, and remittances. Gitto attributed the positive performance to ongoing macroeconomic stabilization and reform efforts.
The regional outlook has also been revised upward by 0.3 percentage points since April, with Sub-Saharan Africa now projected to grow 4.1 percent in 2025. Gitto described the region as showing “remarkable resilience” amid major global shocks, including the COVID-19 pandemic and the war in Ukraine.
“Some very fast-growing countries are contributing to this overall resilience,” he said, citing Benin, Côte d’Ivoire, Ethiopia, Rwanda, and Uganda as examples. However, he cautioned that resource-intensive and conflict-affected countries—home to the majority of the region’s population—continue to drag down per capita GDP growth.
IMF economist Bernard Mendy highlighted progress on inflation in The Gambia. “Inflation is definitely trending down, but we have not yet reached the desired level,” Mendy said.
He reported that inflation has fallen from 14.2 percent in 2023 to around 6.9 percent currently, with a medium-term target of 5 percent. Mendy identified food prices as a major driver of inflationary pressure and recommended continued monetary policy tightening for countries where inflation remains above target.
“That’s why we stated in our policy recommendation that tightening monetary policy would be the prudent idea,” he said.
In a separate development, the IMF announced that The Gambia will benefit from a $60 million climate change initiative aimed at supporting mitigation and adaptation efforts across the Sub-Saharan region.
The strong economic performance comes amid cautious optimism for the broader region. While global growth remains challenging, IMF officials emphasized that continued reforms and resilience will be key to sustaining momentum in The Gambia and beyond.
