COVID-19 Exacerbates Africa's Social And Macroeconomic Vulnerabilities

More than 25 of the 54 African countries have confirmed cases of COVID-19, and the continent could find itself among the regions hardest hit. S&P Global Ratings believes African economies and the banking sector are particularly vulnerable due to the region's poorly developed health systems, its reliance on commodity exports, tourism, and remittances, as well as its significant external debt and the low creditworthiness of most African countries. Overall, the pronounced deterioration of financing conditions could hurt countries with a high current account deficit and dependence on external capital flows for financing.