Burundi’s GDP growth is projected to decline from 2.2% in 2024 to 2.1% in 2025 due to weak domestic demand and increased military spending. A rebound is expected in 2026, with growth rising to 4.5% supported by better agricultural conditions and increased private consumption.
Burundi’s economic growth is expected to decline marginally from an estimated 2.2% in 2024 to 2.1% in 2025. This slowdown is attributed to subdued domestic demand, which is likely to be impacted by rising challenges related to private consumption. Additionally, increased military spending is anticipated to detract from government consumption that typically drives growth.
In 2026, a rebound is projected, with growth accelerating to 4.5%. This increase is anticipated due to improved agricultural conditions, which will help alleviate domestic inflation, thereby fostering a rise in private consumption. This outlook suggests a gradual recovery as conditions stabilize in the Burundian economy.
In summary, Burundi’s economy faces muted growth in 2025, primarily due to stagnant domestic demand and increased military expenditure that limits government spending on growth initiatives. However, a planned improvement in agricultural conditions is anticipated to aid recovery in 2026, with GDP growth projected to rise significantly as private consumption sees an uptick.
Original Source: www.fitchsolutions.com