The International Monetary Fund’s new Africa chief, Zeine Zeidane, said Tuesday that the conflict in the Middle East has created economic challenges for sub-Saharan Africa, but pledged the fund’s support to countries facing growing financial pressures.
Zeidane, who took over as director of the IMF’s African Department on May 1, said his immediate focus was to help African economies absorb the impact of the crisis, which has disrupted trade flows and raised concerns over energy and food security.
“My immediate priority is really to help countries in the region to weather this shock,” he told reporters during a media briefing.
The IMF has already reached staff-level agreements to increase financial assistance for Burkina Faso, The Gambia and São Tomé and Príncipe to help offset the effects of the conflict.
For Ethiopia, which is implementing a large IMF-supported reform programme, the fund accelerated approximately $200 million in financing, Zeidane said.
He warned that the fallout from the Middle East conflict could persist for months, even after the announcement of a ceasefire. According to Gulf countries, it typically takes between six and seven months for production and export activities to return to normal levels following major disruptions, he noted.
Zeidane also highlighted the potential impact on agriculture, pointing out that the Middle East is a major supplier of fertilisers to global markets. Any prolonged disruption could increase production costs and threaten food security across Africa.
Despite the immediate risks, Zeidane expressed confidence in the region’s long-term economic prospects.
Before the latest crisis, sub-Saharan Africa was among the fastest-growing regions in the world and had made progress in reducing fiscal deficits and stabilising public finances, he said.
“The future, the next growth engine for the world, will be Africa,” Zeidane said. “We need to support Africa to unlock its potential.”
Zeidane joined the IMF in 2012 and previously served as prime minister, central bank governor and economic adviser to the president of Mauritania. He succeeded Abebe Aemro Selassie, who retired from the IMF in May.
The IMF oversees its engagement with 45 countries across sub-Saharan Africa through its African Department and remains a key source of financial support and policy advice for governments confronting economic shocks.
