In this episode of Insights, ECA’s Zuzana Schwidrowski unpacks the complex reality facing middle-income countries, particularly in Africa. She explains what defines a middle-income country, and why this classification, while a sign of progress, often masks deep structural challenges such as inequality, weak institutions, and limited industrialization. Schwidrowski highlights the “middle-income trap”—where countries struggle to transition to high-income status—and discusses strategies to overcome it, including diversification, investment in education, innovation, and governance reform. Drawing on her experience at the UN Economic Commission for Africa, she provides a nuanced look at how these countries can maintain momentum and avoid stagnation. This episode offers valuable insight for policymakers, researchers, and anyone interested in Africa’s development journey and the global dynamics shaping middle-income economies.