Inflation remained a major economic challenge across Africa in 2025, with several countries experiencing sharply rising consumer prices driven by currency instability, supply‑side pressures and structural economic weaknesses..
- Global inflation moderated to an average of 4.2% in 2025, defying expectations amidst economic challenges.
- The United States witnessed inflation decline to 2.7% in 2025, reflecting broader trends among major economies.
- The IMF projects further global inflation reductions, potentially reaching 3.7% by 2026.
- Despite worldwide improvements, several African nations faced significant inflation due to economic and structural issues.
Global inflation moderated to an average of 4.2% in 2025, holding up better than many analysts expected despite historic U.S. tariff pressures across commodities and supply chains
In the United States, inflation eased from about 3% in 2024 to approximately 2.7% in 2025, reflecting broader disinflationary trends in major economies.
The International Monetary Fund projects global inflation could fall further to around 3.7% in 2026, boosted by soft price growth in China and subdued inflation in much of Europe.
Despite these gains, several African economies remained under acute price pressure in 2025, in part due to currency instability, import costs, conflicts, and structural supply constraints.
Five African nations – South Sudan, Zimbabwe, Sudan, Burundi and Malawi – ranked among the top 10 countries globally with the highest inflation rates in 2025, alongside severe cases like Venezuela, where inflation reached 269.9% and is projected to exceed 680% in 2026 amid deep economic distress and currency turmoil.
In Venezuela’s case, the bolívar depreciated sharply due to U.S. sanctions and policy shifts, adding to spiralling price increases and uncertainty about future stability.
Below are the African countries with the highest inflation rates in 2025 based on IMF projections and related economic data:
Conflict and monetary instability at play
South Sudan’s nearly 100% inflation reflects persistent currency depreciation and heavy import dependence in an economy still wrestling with conflict and weak governance.
Zimbabwe, contending with a history of monetary instability and efforts to stabilise its currency also saw some of the region’s steepest price increases.
Sudan’s economy, battered by years of civil strife and fiscal distress, saw inflation similarly surge, eroding purchasing power and complicating policy responses.
Burundi’s high inflation relates to chronic fiscal imbalances and food insecurity, while Malawi’s persistent inflation above 20% has fuelled social discontent and highlights the challenge of aligning monetary policy with growth objectives.
Other African economies in the list, like Nigeria, Angola, Egypt, Ghana and Zambia, experienced elevated but comparatively lower inflation, influenced by foreign exchange volatility and structural bottlenecks.
Collectively, these figures reflect the uneven inflation landscape across Africa in 2025 where several economies struggled with cost‑of‑living pressures even as global inflation softened.
