Foreign direct investment (FDI) inflows to Africa reached about $70-billion in 2025, which was below the exceptional $94-billion recorded in 2024, but was the third-highest number since 1990 and remained one-third above the long-term average.
However, the bigger story is that investors continue to position themselves in sectors that are becoming increasingly important to the global economy, UN Trade and Development (Unctad) highlights in its 'World Investment Report 2026'.
Competition for investment is increasingly centred on energy, infrastructure technology and critical resources. Africa continues to attract investor attention, including from the Gulf and Asian economies, but the question is whether that interest can translate into broader economic gains.
African greenfield project values fell by almost one-third, but project numbers increased, which indicates broader engagement through smaller projects.
This suggests companies continue to commit capital to future projects, despite geopolitical tensions, trade policy uncertainty and a more selective global investment environment, says Unctad.
