Investment themes that will define Africa’s next decade

Some say investing in Africa is ‘too risky,’ but the biggest risk may be being too late.

Here are the investment themes that will define Africa over the next decade:

• Digitization, digital economy, and fintech — The continent is still in the early stages of a digital supercycle that will touch every sphere of economic activity, presenting generational investment opportunities and the potential for immense productivity gains.
• Trade, logistics, and transport infrastructure — An increased emphasis on regional integration, export competitiveness, and interconnectedness between Africa and the world is creating significant opportunities for infrastructure development projects and solutions.
• Essential consumer products and services — The continent’s population boom and rapid urbanization continue to create prime opportunities in healthcare, agribusiness, education, real estate, and consumer goods.
• Clean energy and climate transition — With abundant natural resources including wind, solar, critical minerals, and forests, coupled with growing energy needs, Africa is well-positioned to become a global hub for clean energy generation and the global decarbonization agenda.

While these themes represent some of the highest-potential opportunities across the continent, Africa isn’t a monolith and certain themes may have more (or less) potential in specific markets.

That said, the question isn’t whether these themes will matter for the continent over the next decade, but where and when they’ll hit inflection points.