A United Nations report shows that foreign direct investment in Africa plunged by 42% in the first half of 2025.

钱塘出海2025-12-23 10:29
FDI in Africa plummeted by 42% in the first half of the year, with a 59% drop in North Africa. The global investment environment remains challenging.

On November 10, the African Financial and Economic Information Agency reported that the United Nations Conference on Trade and Development (UNCTAD) released the "Global Investment Trends Monitor". The report shows that in the first half of 2025, foreign direct investment (FDI) in Africa plummeted by 42% to $28 billion. Among them, the decline was most significant in North Africa, where FDI in the first half of 2025 decreased by 59% to $11 billion, and in sub-Saharan Africa, it decreased by 23% year-on-year to $17 billion. In contrast, the volume of FDI in other regions remained generally stable, and FDI even increased in Latin America and the Caribbean (+12%) and developing Asian countries (+7%). Against the backdrop of escalating global trade tensions, high interest rates, and prominent geopolitical and economic uncertainties, Africa is going against the overall trend of developing economies. UNCTAD predicts that the global investment environment will continue to be challenging until the end of 2025. Geopolitical tensions, regional conflicts, economic fragmentation, and measures taken to reduce supply chain risks will continue to put pressure on global investment flows. However, the easing of the financial environment, the increase in merger and acquisition activities in the third quarter, and the increase in overseas spending by sovereign wealth funds may contribute to a slight recovery in investment by the end of the year.