Africa's record-breaking foreign investments in 2024

In 2024, Africa witnessed a historic surge in foreign direct investment (FDI), reaching an all-time high of US $94 billion—an 85% increase from the previous year. This remarkable growth highlights the continent's growing appeal as a destination for global capital, driven by ambitious infrastructure initiatives, a push toward energy diversification, and deeper regional economic integration.

The FDI boom demonstrates the shifting narrative about Africa: from a continent often viewed through the lens of risk to one increasingly seen as a land of opportunity, innovation, and strategic partnerships. This new era of investment is not only reshaping African economies but also influencing global economic trends. 

Egypt: Leading the pack 
Topping the list of FDI recipients in Africa, Egypt attracted a staggering US $35 billion, accounting for over one-third of the continent’s total foreign investment inflow in 2024. A significant catalyst for this surge was the Ras El-Hekma development project, a bold vision to transform Egypt’s north-western coast into a world-class economic and tourism hub. 

The project, spearheaded by the Abu Dhabi Developmental Holding Company (ADQ), involves a US $24 billion direct investment into Ras El-Hekma, along with the conversion of US $11 billion in deposits into capital investments. This dual investment structure not only underlines the scale of the project but also reflects the UAE’s long-term confidence in Egypt’s economic trajectory. 

The Ras El-Hekma initiative includes residential, commercial, and tourism infrastructure and is expected to generate thousands of jobs, stimulate domestic industries, and boost Egypt’s appeal as a regional investment hotspot. 

Nigeria: Energy sector still dominant
Nigeria maintained its stronghold as a magnet for energy investments, reflecting the country’s critical role in global oil and gas markets.

• Shell’s US $5 billion investment in the Bonga North deepwater offshore project marks a strategic pivot for the energy giant. The investment was greenlit following regulatory approval of Shell’s US $1.3 billion divestment of its onshore assets to Renaissance Africa Energy. This move is designed to shift Shell's focus to offshore and LNG operations while addressing long-standing environmental and operational concerns in the Niger Delta.

• Another notable transaction was Oando PLC’s US $783 million acquisition of the Nigerian Agip Oil Company (NAOC) from Italy’s Eni. Recognised as the "Deal of the Year" at the Africa Energy Week 2024, this acquisition is expected to enhance Nigeria’s domestic production capacity and reassert local ownership in strategic energy assets.

South Africa: Financial sector draws capital
South Africa attracted US $5.2 billion in FDI in 2024, with a major chunk flowing into the financial sector. A landmark deal saw Nigeria’s Access Bank acquiring 100% ownership of Bidvest Bank for US $159 million.

This acquisition is part of Access Bank’s aggressive pan-African expansion strategy, with footprints now extending into Morocco, Algeria, Egypt, Côte d'Ivoire, Senegal, Angola, Namibia, and Ethiopia. For South Africa, the deal is more than just a financial transaction; it symbolises the continent’s increasing interconnectivity and the rise of intra-African investment.

Morocco: Energy infrastructure on the rise 
Morocco continued to draw foreign investment in 2024 through major energy infrastructure projects. While exact FDI figures remain undisclosed, international partners from Europe and the Gulf are backing key initiatives, including the development of a liquefied natural gas (LNG) terminal near Nador. This terminal is part of Morocco’s strategy to reduce coal dependence and diversify energy sources.

The country is also advancing the 6,800 km West African Gas Pipeline, connecting gas fields from Senegal, Mauritania, Ghana, Ivory Coast, and Nigeria to Morocco. Backed by multinational investors, this project reinforces Morocco’s role as a regional energy hub.

These efforts support Morocco’s goal to raise its renewable energy share from 45% to 52% by 2030, with foreign partnerships playing a vital role in financing and implementation.

Mali: Betting on solar energy
In a significant step toward renewable energy adoption, Mali began construction of the Sanankoroba Solar Power Station, a 50 MW solar plant equipped with a 20 MWh battery energy storage system. 

The project, developed by Russia’s NovaWind, represents a joint venture between the Malian government and the Russian firm. Scheduled for completion in 2025, it is expected to increase Mali’s electricity generation capacity by 10%, addressing persistent energy shortages in rural and urban areas alike. 

A key feature of this deal is the structured transfer of ownership: after 10 years of operation, full control will revert to the Malian Ministry of Energy and Water, exemplifying a sustainable and equitable investment model.

Uganda: Solar expansion gains ground
Uganda’s solar ambitions took a major leap with the development of the Xsabo Lira Solarline, a 50 MW grid-connected solar power plant. The project is part of a broader US $200 million investment by The Xsabo Group, making it one of the largest privately funded solar plants in Sub-Saharan Africa (excluding South Africa). 

The project operates under a public-private partnership (PPP) with the Lira District Local Government, demonstrating how local collaboration and private capital can combine to achieve national energy goals. The plant is set to significantly bolster Uganda’s clean energy supply and set a precedent for future PPPs in the region.

Looking ahead: Africa’s investment renaissance 
The record-breaking FDI inflow in 2024 is not just a statistical milestone—it’s a signal that Africa is entering a new phase of economic evolution. The continent is successfully attracting high-quality investment in key sectors such as energy, infrastructure, finance, and technology. 

Several trends are driving this momentum: 

• The African Continental Free Trade Area (AfCFTA) is facilitating cross-border investment and trade.
• There is an increasing appetite for green and sustainable energy solutions.
• Intra-African investments are growing, helping build stronger regional economic blocs. 

If current trends continue, Africa is well on its way to becoming a global investment frontier—dynamic, resilient, and full of untapped potential.