Foreign direct investment (FDI) flows to Africa fell by 3% to $53 billion last year.
According to the latest World Investment Report 2024 from the United Nations Conference on Trade and Development (UNCTAD), global FDI fell by 2% to $1.3 trillion in 2023 due to economic slowdowns and rising geopolitical tensions.
FDI to developing countries fell by 7% to $867 billion, as tight financing conditions led to a 26% decline in international project finance deals, which are critical for infrastructure investment. The decline has left the poorest countries most vulnerable to the global downturn in this type of investment.
Accoroding to the Business Insider, a UNCTAD report indicated that Egypt was the most attractive to foreign direct investment (FDI) in 2023, with a total of $9.841 billion, down from $11.4 billion in 2022.
While the prospects for 2024 are challenging, the report indicated that modest growth is possible, thanks to easing financial conditions and efforts to facilitate investment through national policies and international agreements.
Here are the top 10 African countries attracting FDI:
Egypt: $9.841 billion
South Africa: $5.233 billion
Ethiopia: $3.263 billion
Uganda: $2.886 billion
Senegal: $2.641 billion
Mozambique: $2.509 billion
Namibia: $2.345 billion
Nigeria: $1.873 billion
Cote d'Ivoire: $1.753 billion
DRC: $1.635 billion
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