Burundi’s GDP growth is forecasted to decline from 2.2% in 2024 to 2.1% in 2025 due to weak domestic demand and increased military spending. Growth is expected to accelerate to 4.5% in 2026, driven by improved agricultural conditions.
The projected real GDP growth for Burundi is anticipated to slightly decline from 2.2% in 2024 to 2.1% in 2025. This subdued growth is attributed to weak domestic demand, alongside challenges to private consumption. Furthermore, increased military expenditures are likely to detract from government consumption that would otherwise drive growth.
In 2026, a recovery is anticipated, with GDP growth expected to rebound to 4.5%. This forecast improvement is contingent upon better agricultural conditions, which would alleviate domestic price pressures and thereby stimulate private consumption.
The insights contained in this report are generated by BMI, a Fitch Solutions entity, and do not reflect opinions or data from Fitch Ratings regarding credit ratings. The information provided originates solely from BMI and independent sources.
In conclusion, Burundi’s economy is projected to experience modest growth in 2025 due to weak domestic demand and increased military spending. A potential recovery is anticipated in 2026, supported by agricultural improvements which are expected to bolster private consumption. The commentary reflects the independent assessments of BMI, distinct from Fitch Ratings.’
Original Source: www.fitchsolutions.com