Equatorial Guinea has caught the interest of international investors after securing an investment-grade credit rating of BBB/A2 from Bloomfield Investment Corporation, a notable achievement for the small oil-rich Central African country. The announcement, made recently by the ratings agency, signals growing confidence in Equatorial Guinea’s economy, though experts are still cautious about long-term sustainability.
In a conversation with Soraya Diallo, the Senior Vice President and Ratings Director at Bloomfield, she explained that the rating was based on recent progress in fiscal consolidation, increasing oil revenue, and improved external financial balances. According to her, “There’s no denying the country has made strides in stabilizing its economy.” She added that key indicators, such as public debt reduction and foreign reserves, contributed to the positive rating.
However, despite this progress, Equatorial Guinea still faces several deep-rooted challenges. Its economy is heavily dependent on oil, which makes up a large share of government income and export earnings. Analysts say this dependence makes the country vulnerable to fluctuations in oil prices, especially as global energy markets continue to shift towards renewables.
There are also concerns about governance and transparency. International observers have pointed out that the country’s public institutions still lack openness and accountability, raising doubts about how sustainable the economic progress will be. Many believe that the government needs to focus on diversifying the economy and making public systems more transparent to truly benefit from the improved credit rating.
Meanwhile, in the Democratic Republic of Congo, a local start-up is gaining attention by using cassava flour to make pizza, in a move aimed at addressing the global wheat crisis. The idea came after wheat prices increased sharply due to global issues like climate change and geopolitical tensions. The Congolese company decided to use cassava, a crop that is widely grown across Africa, as a replacement for imported wheat.
The cassava-based pizza is not only helping reduce costs, but it also supports local farmers and promotes food security. Experts say the innovation is a good example of agro-industrial creativity, which can help African countries depend less on imports. The company, which was not named in the original report, is part of a wider movement across Africa to use local resources to create sustainable businesses that benefit communities and reduce foreign dependence.
In Burkina Faso, the government has taken a bold decision by suspending the export of raw cashew nuts, one of the country’s most important cash crops. The move is part of a new strategy to encourage local processing and add more value to agricultural products before they are sold abroad.
Government officials said the aim is to create jobs, lower production costs for local businesses, and ensure more of the country’s income stays within the borders. By processing the cashew nuts locally, Burkina Faso hopes to grow its economy and strengthen industries like agro-processing, packaging, and transport. The country’s move is similar to efforts by other African nations that are trying to shift away from just exporting raw materials and instead focus on finished or semi-finished goods.
Economists say such policies are important for Africa’s development because they allow countries to keep more value from their natural resources. This not only boosts local economies but also makes them more stable in times of global market shocks.
