Foreign direct investment (FDI) in Africa surged by 85% in 2024, reaching a record high of $94 billion, according to the latest data from the United Nations Conference on Trade and Development (UNCTAD). This significant growth occurred despite a global decline in FDI by 8% and a substantial reduction in international project financing.
Egypt emerged as a major driver of this surge, attracting a substantial $35 billion in FDI, accounting for a third of the continent’s total. This significant inflow was primarily driven by ADQ’s $24 billion investment in the Ras El-Hekma megalopolis development project. Furthermore, ADQ converted $11 billion in deposits into investments, further bolstering Egypt’s economic growth.
North Africa collectively witnessed a remarkable 276% year-on-year increase in FDI, reaching $51 billion. Sub-Saharan Africa also experienced robust growth, with FDI inflows reaching $44 billion, an 18% increase compared to the previous year.
While global project financing experienced a 23% decline, impacting Asia more significantly than Africa, the continent demonstrated resilience. This resilience underscores Africa’s growing appeal as a destination for international investment, with emerging sectors and development projects poised to sustain this momentum.
