COVID-19: Ten Policy Priorities for Africa's Recovery, Growth and Transformation

This policy brief from the African Center for Economic Transformation outlines ten priority policy areas to support Africa's economic recovery and long-term transformation following the COVID-19 pandemic. The recommendations are categorized into resource mobilization, governance, business environment, and digital innovation.

• The COVID-19 pandemic caused Sub-Saharan Africa to experience its first recession in 25 years, with a record 6.1 percent decline in per capita income according to the World Bank.
• African governments are encouraged to increase revenue by closing tax loopholes and eliminating exemptions, particularly for wealthy individuals and global corporations. A 2019 McKinsey report indicated that improving tax and tariff performance could generate revenues between two and three percent of GDP.
• Tax-to-GDP ratios vary significantly across the continent; as of 2018, South Africa's ratio was 25 percent, while Kenya's was 16 percent, and Ghana and Ethiopia's were approximately 11 percent.
• To improve governance and efficiency, the document recommends streamlining government by eliminating overlapping initiatives and reducing bureaucratic bloat, noting that Ethiopia has already reduced its cabinet posts by nearly one-third.
• The brief suggests revisiting national development strategies to ensure they are backed by financing plans and include progressive food import substitution policies to support smallholder farmers and women.
• There is a significant gap in the ease of doing business compared to high-income economies; for instance, only 17 percent of companies in Sub-Saharan Africa use electronic filing or payments, compared to 97 percent in high-income economies.
• Africa's venture capital funding is low compared to other regions; in 2018, approximately 150 digital startups raised $1.16 billion, which is less than 1 percent of global incubator funds. In the same year, India attracted $7 billion and China attracted $70 billion.
• The Digital Transformation for Africa initiative, led by the African Union, aims to close the digital divide through funding commitments of $100 billion over the next decade.

APA

Webmaster (2020). COVID-19: Ten Policy Priorities for Africa's Recovery, Growth and Transformation. African Center for Economic Transformation. https://acetforafrica.org/research-and-analysis/insights-ideas/policy-briefs/covid-19-ten-policy-priorities-for-africas-recovery-growth-and-transformation/

Chicago

Webmaster. COVID-19: Ten Policy Priorities for Africa's Recovery, Growth and Transformation. African Center for Economic Transformation, 2020. https://acetforafrica.org/research-and-analysis/insights-ideas/policy-briefs/covid-19-ten-policy-priorities-for-africas-recovery-growth-and-transformation/.

Wikipedia

{{cite report |last1=Webmaster |title=COVID-19: Ten Policy Priorities for Africa's Recovery, Growth and Transformation |publisher=African Center for Economic Transformation |date=2 June 2020 |url=https://acetforafrica.org/research-and-analysis/insights-ideas/policy-briefs/covid-19-ten-policy-priorities-for-africas-recovery-growth-and-transformation/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{webmaster2020covid19, author = {Webmaster}, title = {{COVID-19: Ten Policy Priorities for Africa's Recovery, Growth and Transformation}}, institution = {African Center for Economic Transformation}, year = {2020}, month = jun, url = {https://acetforafrica.org/research-and-analysis/insights-ideas/policy-briefs/covid-19-ten-policy-priorities-for-africas-recovery-growth-and-transformation/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }