Guinea’s economy is rapidly growing and in 2017, it recorded an 8% growth. According to IMF which revealed the information in a press release issued yesterday May 2,  this growth was driven by a rebound in mining activities, which accounted in 2016 for about 98% of the country’s total export earnings.

"The sharp increase in mining exports reduced external imbalances in 2017. The increase in foreign direct investment in the mining sector has continued,”  Giorgia Albertin, IMF's chief of mission for Guinea, said. These investments had a positive impact on the West African country’s foreign exchange reserves, improving them.

However, the document indicated that overall inflation in the country continues to grow, reaching 8.9% last year. There was also a deterioration in fiscal imbalances in the same year, with a budget deficit of 1.1% of GDP.

Therefore, IMF suggested the adoption of adequate fiscal and monetary policies to reduce the pressure on macroeconomic stability due to fiscal deficits and inflation.

Let’s note that in 2018, the Bretton Woods institution expects Guinea to record a 6% economic growth.

Moutiou Adjibi Nourou