Foreign Investment in Africa: Top Investors and Major Deals in 2026

Africa’s foreign direct investment (FDI) landscape continues to evolve rapidly in early 2026, building on the record highs of 2024 and a more mixed performance in 2025. According to UN Trade and Development (UNCTAD)’s World Investment Report 2025, inflows to Africa surged 75% in 2024 to an all-time high of $97 billion, largely driven by a massive infrastructure project in Egypt. Excluding that deal, flows still grew 12%, reflecting broader reforms and facilitation efforts across the continent. However, preliminary data for the first half of 2025 showed a 42% drop to $28 billion, highlighting volatility amid global economic headwinds, trade tensions and geopolitical shifts.

As 2026 begins, momentum appears steadier in strategic sectors such as critical minerals, renewable energy, digital infrastructure and AI. The narrative has shifted from China-dominated infrastructure financing in the 2010s to a more competitive field, with the United Arab Emirates (UAE) emerging as a leading player in new projects, the United States focusing on critical minerals supply chains, and Europe advancing values-based partnerships through initiatives like Global Gateway. China maintains significant trade dominance and stock presence but has moderated new FDI flows.

African governments are leveraging this competition to negotiate better terms, while the African Continental Free Trade Area (AfCFTA) promises to boost intra-continental investment. Growth projections for sub-Saharan Africa hover around 4% in 2026, supported by these inflows, though concerns over sustainability, debt and equitable benefits persist.

Key Investors and Major Deals

Here is a breakdown of the top foreign investors and standout deals shaping Africa’s FDI in recent years, with emphasis on 2025 announcements carrying into 2026:

1. United Arab Emirates (UAE) — Aggressive Diversification Leader

The UAE has solidified its position as one of Africa’s top investors in new greenfield projects, with cumulative investments exceeding $110 billion between 2019 and 2023 (and continuing growth). Abu Dhabi’s sovereign wealth funds and private entities prioritize rapid execution in infrastructure, digital tech, tourism and green sectors, often with fewer conditionalities than Western counterparts.

Major deals include:

• Ras El Hekma Peninsula Development (Egypt, 2024): A landmark $35 billion transaction (with $24 billion upfront) by ADQ to transform the Mediterranean site into a tourism and residential hub. This single deal drove much of Africa’s 2024 FDI spike.
• $1 billion AI Infrastructure Initiative (Continent-wide, announced November 2025): Pledged at the G20 summit in Johannesburg, focusing on data centers, cloud computing, AI access and skills training across African countries.
• $1 billion Ghana-UAE Innovation and AI Hub (Ghana, signed December 2025): Construction begins in 2026 in Ningo-Prampram (Greater Accra Region). Includes $400 million for AI infrastructure (with $180 million for an AI Compute Hub by G42), $75 million for an AI/Web3 campus, and $100 million for a startup fund. Expected to create over 100,000 jobs in tech fields.
• $6 billion Tourism Investment Mapping (Multi-country, announced October 2025): Unveiled at the UAE-Africa Tourism Investment Summit, targeting hospitality, aviation, logistics and sustainable tourism projects across Africa, with potential for 70,000 jobs.
• Nigeria Comprehensive Economic Partnership Agreement (CEPA, signed January 2026): Eliminates tariffs on thousands of products, unlocks green finance up to $30 billion in agriculture, real estate, renewables and infrastructure (building on prior projects like Centenary City).

Analysts note the UAE’s strategy secures food, energy and digital gateways while expanding influence.

2. United States — Strategic Focus on Critical Minerals and Infrastructure

U.S. FDI has gained ground through private-sector and public-private initiatives targeting green transition minerals (cobalt, copper, lithium). Emphasis is on transparency, labor standards and diversified supply chains.

Key deals include:

• Lobito Corridor (Angola, DRC, Zambia, ongoing with major 2025 advancements): A rail-port project backed by the U.S. (over $4 billion committed), EU, G7 partners and multilaterals (total commitments exceed $6 billion). Includes $535 million financing package in late 2025 for Benguela Railway upgrades; aims to export minerals efficiently and counter dominance in supply chains.
• Expanded Operations in Namibia: U.S. firms like Baker Hughes and Halliburton bolster offshore oil and gas following major discoveries (estimated 11 billion barrels potential), alongside green hydrogen and uranium projects contributing to Namibia’s top ranking in Africa’s 2025 Greenfield FDI Performance Index (second globally overall).

3. China — Trade Powerhouse with Evolving FDI Model

China’s FDI stock remains substantial (third globally after Europe and the U.S.), but new flows have moderated due to domestic challenges and debt concerns in Africa. Focus has shifted to trade (nearing $300 billion in recent years) and selective green/mining investments.

Notable ongoing elements:

• Continued mining in Zambia and DRC (copper, cobalt).
• Railway and infrastructure financing (e.g., aligned projects in Uganda).

4. Europe (EU and Member States) — Values-Based Approach via Global Gateway

The EU emphasizes clean energy, sustainability and local value addition through strategic mineral partnerships.

Key initiatives:

• Global Gateway Packages (2025): Hundreds of millions for renewables in sub-Saharan Africa (e.g., €618 million cited in prior reports).
• Mineral Partnerships: With DRC, Namibia, Zambia and Rwanda, supporting value addition and infrastructure (e.g., Lobito Corridor contributions exceeding €2 billion pledged).
• Historic ties from France, Netherlands, UK and Germany in extractives and services.

Top Recipients and Standout Performers

• Egypt: Dominated recent inflows via Gulf megaprojects.
• Namibia: Africa’s top performer in 2025 Greenfield FDI Performance Index (first in Africa, second globally), outperforming its size by nearly eight times in new projects. Driven by oil/gas (e.g., U.S. service expansions), uranium restarts, green hydrogen and manufacturing (e.g., Coca-Cola’s $50 million bottling plant).
• Others: Ethiopia, Côte d’Ivoire, Mozambique, Uganda, Ghana (emerging in digital/AI), and mineral-rich Southern/Central states via corridors.

Sectoral Breakdown and Outlook

Greenfield investments remain resilient in renewables, digital infrastructure (AI/data centers), critical minerals and tourism. Early 2026 shows cautious optimism, with AI, green hydrogen and minerals likely to dominate amid competition.

Expert voices underscore the opportunity: As one analyst notes, increased rivalry gives African leaders leverage for better terms. Yet sustainable development requires strong contracts, local value addition and inclusive benefits to avoid environmental risks or inequality.

In this multipolar era, Africa’s challenge is to channel diverse investments into building lasting capacity — ensuring the continent’s future remains firmly in its own hands.