AFRiCA and the challenges ahead.

There is risk of democracy fading judging by the number of coups and election challenges based on allegation of election fraud.

Heavy dependence of commodity demand has led the commodity led economies to be subjected to the vagaries of the commodity super cycle.

Following ZIRP and NIRP , African economies went on debt binge. Majority of them have seeked IMF assistance

Bond issuance is zero after global interest rates and African government face the challenge of refinancing their debt obligations. hence the chart above of African countries heading to the IMF.

Lending from China has slowed down dramatically.

G7 Rise in interest makes debt refinancing complicated as there many debt creditors

QT has the same effect as rise in interest rates.

The war in UKRAINE is also compounding the debt challenges.

Ammonia prices being high means there will be food inflation. Coming the back grain blockade due Russian invasion of UKRAINE.

Front pages in African Countries is all DOOM.

In addition HAMAS attacks Israel increase geopolitical risks.

Already comparisons of Yom Kipper. Leading to higher global Oil prices increasing inflationary pressures.

Security is heightened as the middle countries face the specter of increased refugees further increasing pressures on the already strained economic purse.

El nino about to crash on our shores leading tp further pain.

IMF global projection. they are rather optimistic in my view.