MALABO, November 4, 2026 – The World Bank issued today the fourth edition of the Equatorial Guinea Economic Update, “Creating Jobs for Diversified and Inclusive Growth,” which examines recent economic developments and sets out policy options to generate more and better jobs as hydrocarbon production declines.
The report finds that Equatorial Guinea’s economy contracted by an estimated 5.8% in 2025 after modest growth of 0.4% in 2024. The downturn was driven by a sharp decline in hydrocarbon production, while growth in agriculture and services was insufficient to offset the contraction in industry. Preliminary data indicate that economic activity remained weak in early 2026. GDP is projected to contract by an average of about 1% per year during 2026-27 before a modest recovery in 2028 supported by new gas projects.
Fiscal and external pressures also intensified. Government revenue fell to 16.3% of GDP in 2025, the fiscal balance remained in deficit at about 0.5% of GDP, and the current account deficit widened to 1.1% of GDP. Poverty increased despite easing inflation and is expected to rise further in the near term, as weak income growth and higher living costs weigh on households.
- Equatorial Guinea has an opportunity to turn the transition away from oil dependence into a more diversified and job-rich development path. Achieving this will require sustained implementation of reforms that strengthen human capital, enable private investment, and expand opportunities for women and young people
