Why Benin, Ethiopia, and Rwanda Are Surging

Did you know that the World Bank updates its country income classifications (low, lower-middle, upper-middle, and high) every year on July 1, based on the previous year’s GNI per capita? Or that the International Monetary Fund (IMF) publishes global economic rankings and data in its World Economic Outlook report twice a year—usually in April and October?

I’m just now finding this out.

I decided to look into this after learning that several African countries—including Benin, Côte d’Ivoire, Ethiopia, Rwanda, and Uganda—are recognized as some of the world’s fastest-growing economies.

What’s especially interesting about these five countries is that their growth isn’t following the usual pattern of relying on a single resource like oil. Instead, their momentum is being driven by structural reforms, infrastructure investment, and economic diversification.

Looking at each country separately:

🇧🇯 Benin

The Driver: Benin has repositioned itself as a regional trade gateway. Major investments in the Port of Cotonou and surrounding transport corridors have made it a vital link for neighboring landlocked countries.

Key Focus: The country has seen a surge in industrial activity, particularly in textiles and agribusiness—shifting away from simply exporting raw cotton to processing it domestically.

🇨🇮 Côte d’Ivoire

The Driver: Often referred to as the “Ivorian Miracle” of the 2020s, Côte d’Ivoire has become the economic engine of Francophone West Africa.

Key Focus: While it remains the world’s top cocoa producer, its 6.4%+ growth rate is fueled by large-scale infrastructure spending—including modern digital networks and transport systems—and rising domestic consumption from a growing middle class.

🇪🇹 Ethiopia

The Driver: Ethiopia is undergoing a massive energy and industrial transformation.

Key Focus: With the Grand Ethiopian Renaissance Dam (GERD) reaching full operational capacity, the country has emerged as a regional energy exporter. Ethiopia is also aggressively liberalizing its economy—opening its banking sector and launching its first-ever stock exchange (ESX) in late 2024/2025 to attract foreign investment.

🇷🇼 Rwanda

The Driver: Rwanda has positioned itself as the service hub of the continent and consistently ranks as one of the easiest places to do business in Africa.

Key Focus: The government is betting on technology and high-end tourism. Projects such as Bugesera International Airport and Kigali Innovation City are part of a broader strategy to turn Rwanda into a Pan-African center for startups, conferences, and fintech.

🇺🇬 Uganda

The Driver: Uganda’s growth is entering a new phase, driven by emerging oil production and large-scale transportation projects.

Key Focus: Construction of the East African Crude Oil Pipeline (EACOP) has brought billions in investment. At the same time, Uganda maintains a strong agricultural base—especially coffee and gold—and is seeing a surge in public spending on regional rail links to strengthen trade with neighboring countries.

The Sahel region has been in the news frequently, so it’s notable that countries from that region don’t appear on this list. There appear to be three main reasons for this:

• Security and humanitarian challenges

• Political decoupling (the AES factor): Several Sahel states have exited ECOWAS (the West African regional bloc) and formed their own alliance—the Alliance of Sahel States (AES).

• “Informal” vs. “formal” growth: The IMF often struggles to accurately measure economic activity tied to artisanal gold production and large, opaque mega-projects.

After seeing video clips on Instagram highlighting just how beautiful Africa is, I’ve found myself increasingly interested in learning more about the continent. I plan to continue writing about it—as I learn more myself.