Senegal's economic growth is making waves as the nation steps onto the global stage, thanks to its burgeoning oil and gas exports. The most notable achievement came in the third quarter of 2024 when Senegal recorded its highest-ever growth rate, with the International Monetary Fund estimating the GDP would rise by 9.3% by 2025. The triumphant statistics come after the commencement of oil exports from the Sangomar project, initiated by Woodside Energy earlier this year. According to the National Agency of Statistics and Demography, the gross domestic product increased by 8.9% from the previous quarter, marking an impressive 11.5% rise year-on-year.
But this newfound growth is not just about numbers. It symbolizes Senegal's ambition and potential as a significant energy player in West Africa. The energy-driven economic growth is expected to aid the government as it grapples with fiscal challenges, like its budget deficit, which currently exceeds 11% of GDP. Prime Minister Ousmane Sonko has pledged to reduce the deficit to 3% by 2027 through improved spending and enhanced tax revenues. While there is cautious optimism among investors about Senegal's capability to utilize its resource wealth sustainably, analysts warn of potential stabilization at lower growth rates in the medium term.
Moving beyond the borders of Senegal, Ukraine's agricultural sector has made headlines. The Agriculture Ministry reported record exports reaching $24.5 billion for 2024, accounting for 59% of the nation’s total exports. This marks a return to pre-war levels, inching closer to the high set in 2021 when exports totaled $27.7 billion. Facilitated primarily by the reopening of maritime trade corridors, the country's agricultural exports included significant volumes of grains and sunflower seeds, cementing Ukraine's position as a global agricultural powerhouse. The impressive figures reflect how the nation exported 78.3 million tons of products, with sunflower oil leading at nearly 6 million tons valued at $5.1 billion.
Wheat and corn also accounted for substantial portions of the export profile, with 20.6 million tons and 29.6 million tons exported worth $3.7 billion and $5 billion respectively. Despite the adverse circumstances instigated by Russia's blockade of the Black Sea and concurrent attempts to disrupt Ukrainian agricultural markets, the resilience exhibited by Ukraine’s farmers has led to significant export gains.
Meanwhile, the coffee industry of Vietnam showcased its remarkable prowess and potential as it recorded export volumes of 1.24 million tonnes with revenue exceeding $5.2 billion. This development is significant as coffee has become the third most valuable agricultural product after vegetables and rice. A few major factors contributed to this success, including soaring export prices. The export price of coffee reached its highest-ever value at $5,720 per tonne, surging by 59% compared to the previous year.
These record-high prices manifest the rapidly changing dynamics of the coffee market, thrusting it to the forefront of agricultural exports. Despite facing challenges such as fluctuated demand for roasted Vietnamese coffee and price volatility within the market, experts believe there is still considerable room for growth. Do Ha Nam, vice president of the Vietnam Coffee-Cocoa Association (VICOFA), stated, '2024 was an unprecedented year for the industry, and I anticipate our exports could generate up to $10 billion revenue moving forward.'
Next, moving forward, the prospects for agricultural exports to Europe appear eager as international standards demand compliance with regulations such as the EU Regulation on Deforestation-free Products (EUDR), set for December 2025. Vietnam's coffee producers are reportedly prepared to adapt, which could significantly bolster their market presence.
Across the board, from Senegal's energy venture to Ukraine's agronomic recovery and Vietnam's coffee advancements, 2024 stands as a year of record-breaking export growth. Each sector not only contributes positively to their local economies but also reflects broader trends and challenges within global markets. The year offers lessons on resilience, innovation, and the importance of strategic international partnerships.