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Overview

The archipelago of the Comoros is in the Indian Ocean, north of the Mozambique Channel and northeast of Madagascar.

Political Context
Azali Assoumani was re-elected for a third term as President of the Comoros Union in January 2024 following the first round of presidential elections on January 14th, 2024. Elected in 2016, after ten years of absence from the political scene, Azali Assoumani returned and won the last three presidential elections (2016, 2019, 2024). On July 1, 2024, President Assoumani appointed a new cabinet, comprising 15 ministers, two of whom are women, and one leading a new ministry in charge of gender promotion. Parliamentary elections are due in February 2025.

Economic Overview
The economy grew by 3% in 2023, while inflation continued to decline. Economic activity was disrupted by post-election demonstrations in January 2024, but increased private consumption, driven by “grands mariages” and robust tourism, are expected to mitigate this impact. On the supply side, the construction sector benefited from ongoing large public infrastructure investments, such as the construction of the El Maarouf Hospital and Galawa Hotel. Average headline inflation fell to 3.7% in the first half of 2024, driven by lower commodity prices, down from 12.4 % in 2022 and 8.5% in 2023, further supporting private consumption.

The fiscal deficit narrowed in 2023 but is expected to increase in 2024. Increased grants, along with improved expenditure rationalization and domestic revenue mobilization efforts, reduced the fiscal deficit from 4% in 2022 to 1.7% in 2023. Economic growth is expected to converge to 4.3% in the medium term, driven primarily by private consumption and public investment in the El Maarouf Hospital, the Galawa Hotel, and the rehabilitation or construction of transport infrastructure. Lower imported inflation, due to lower global commodity prices, is expected to contribute to lower headline inflation, which is forecasted at 1.7% in 2025.

Social Context
Comoros is densely populated, with approximately 465 inhabitants per km2 and 53% of the population under 20 years of age. High population density places intense pressure on natural resources and the environment. The country’s location and topography are among the most climate-vulnerable in the world, and 54.2% of the population lives in at-risk areas. Some 45% of the population live just below the national poverty line. Comoros children can expect to complete 8.4 years of schooling by 18 years of age. Chronic malnutrition leads to stunting in 31 of 100 children. The social safety net system in Comoros is progressing, but its impact is limited due to inadequate coverage.

Last Updated: Oct 09, 2024

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Country Office Contacts

World Bank Office
United Nations Compound
Moroni
Comoros
PO Box 648
+2697732032
For general information and inquiries
Diana Styvanley
External Affairs Officer
+2697732032
For project-related issues and complaints