Dangote Group Warns of Economic Risks for Africa in 2026

The Dangote Group has issued a warning regarding the impact of a strong US dollar, high global interest rates, and increasing external debt on development spending across Africa. This warning was included in the group's first-half 2026 Economic Report, which identifies tight external financing conditions as a significant risk to the continent's economic outlook.

The report indicates that countries with substantial external debt and high energy import bills are particularly vulnerable to currency instability and rising borrowing costs. Consequently, governments may need to allocate more resources to debt servicing, limiting funding for infrastructure and essential public services.

The report anticipates that external financing conditions will remain tight in the second half of 2026, increasing the vulnerability of countries with weaker external positions. Despite these challenges, Africa's economic performance in the first half of 2026 was described as resilient, with notable growth in West and East Africa, while South Africa's growth was hindered by electricity shortages and logistics issues.