Africa secured $13.84 billion across 306 energy transition deals in 2025.
Clean energy projects accounted for 98.3% of total investment value.
AfDB, World Bank Group and Standard Bank ranked among top investors.
Africa drew $13.84 billion in energy transition investment in 2025, according to a report published February 17 by Electron Intelligence, an economic intelligence firm focused on African energy markets.
Titled Africa’s Power and Energy Transition Investment Report 2025, the study says the total was spread across 306 transactions led by 142 distinct investors in 43 countries.
Clean energy projects dominated, accounting for $13.61 billion, or 98.3% of total investment value. Within the green energy segment, power generation attracted the largest share at $8.14 billion. Sector reform programs and public utility strengthening followed with $2.40 billion. Transmission and distribution networks secured $1.55 billion, while storage and flexibility projects received $666 million.
Debt financing accounted for the bulk of funding at $9.05 billion. Equity contributed $2.48 billion, followed by grants at $1.17 billion, guarantees at $656.5 million and blended finance at $456.9 million. The report also recorded 15 mergers and acquisitions totaling $1.4 billion during the year.
AfDB Leads Investor Rankings
Project bankability remains the primary factor shaping investment decisions, the report notes. Capital flows are concentrated in projects backed by credible power purchase agreements, balanced risk allocation, proven execution capacity and guaranteed grid access.
Among leading investors in 2025 were the African Development Bank (AfDB) with $1.77 billion, the World Bank Group with $1.04 billion, South Africa’s Standard Bank with $922.1 million and the European Union with $794.6 million. The top ten investors together accounted for more than 53% of total investment, or $7.42 billion across 112 transactions in 34 countries.
Geographically, capital flowed to a limited number of key markets offering large-scale project opportunities and attractive returns. Ten countries captured $9.88 billion, or 73% of total transaction value. South Africa led with $2.16 billion, followed by Egypt ($1.95 billion), Nigeria ($1.78 billion) and Morocco ($1.38 billion).
By subregion, West Africa attracted the most investment at $3.91 billion, ahead of North Africa ($3.75 billion), Southern Africa ($3.13 billion), East Africa ($797.7 million) and Central Africa ($325.5 million). Cross-regional transactions involving two or more subregions totaled $1.90 billion.
Walid Kéfi