Benin
Benin: gateway economy where Dahomey's slave ports became Cotonou's 40% of national revenue. 7.5% growth in 2024, but Sahel fragmentation threatens landlocked client states.
Benin exists where trade routes intersect. The Dahomey Kingdom rose here around 1600, building power on slave exports through coastal ports that connected African hinterlands to Atlantic commerce. France conquered the kingdom by 1894, ruled it as part of French West Africa, and left at independence in 1960. The country renamed itself from Dahomey to Benin in 1975—but the geographic logic that created Dahomey's power still drives the economy.
The Port of Cotonou is the keystone. Sitting at the junction of the Abidjan-Lagos coastal corridor and the Cotonou-Niamey inland route, it serves as the ocean gateway for landlocked Niger, Burkina Faso, and Mali. Port revenues now account for over 40% of Benin's national budget. Commerce with Nigeria alone contributes roughly 20% of GDP. This transit function makes Benin disproportionately important to West African trade—and disproportionately vulnerable to regional disruption.
In January 2025, Mali, Burkina Faso, and Niger withdrew from ECOWAS to form the Alliance of Sahel States (AES). The fragmentation weakened regional cooperation just as jihadist attacks increased in Benin's northern departments, facilitated by poor cross-border coordination. Meanwhile, cotton remains the dominant export—48% of the total—with over 70% of the workforce in agriculture and half the population in subsistence farming.
Despite these tensions, Benin achieved 7.5% GDP growth in 2024—the highest since 1990—and maintained that pace into 2025. Port modernization continues. Public debt declined to 51.6% of GDP. By 2026, Benin's trajectory depends on whether regional integration recovers or the Sahel fragmentations deepen—testing whether a gateway economy can thrive when its hinterland turns hostile.