Slowdown in China could hurt Africa.

Author:Dalby, Alexa
Position:Brief article
 
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A slowdown in China's economy in 2015 could negatively affect sub-Saharan Africa, global rating agency Moody's says. Moody's expects Chinese growth, one of the drivers of global GDP, to be between 6.5% and 7.5% in 2015. China, which accounts for 13% of the world's GDP, has recorded a deceleration in growth.

Moody's said the deterioration in commodity prices, and China's significant contribution to some African countries' FDI could hurt economies that are dependent on it. Many African countries have 'looked East' for cheap loans to power infrastructure projects. Sovereigns demonstrating strong regional trade links facing lower risk than those that rely on commodity exports.

Kenya, Uganda, Mozambique, Botswana, Ghana, Namibia and Senegal are less directly vulnerable to the China economic meltdown, mostly because of their trade...

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