Africa’s developmental awakening is turning heads worldwide, with economies across the continent growing at noteworthy rates.

Fueled by foreign investment, ample resources, policy reforms, and a burgeoning, young population, the continent boasts boundless potential that has nations from the U.S. to China vying for influence. Out of the top 20 fastest-growing economies in the world, more than half are in Africa.

As per UN Trade and Development, Africa’s foreign direct investment (FDI) rose by 75% in 2024 to $97 billion, showcasing global confidence in the continent’s future.

In different parts of the continent, there are echoes of optimism, especially from the entrepreneurial communities, who are the engines of Africa’s economies.

“What’s interesting about foreign investment is that top [African] talent tends to go to places like Silicon Valley or Europe—but when they return after cutting their teeth abroad, they bring back credibility, networks, and local expertise. That’s how I think more capital will start to flow in,” says Mathieu Coquillon, the co-founder and Director of Mama Money, an international money transfer service in South Africa.

There’s an amplified focus on improved production capabilities, infrastructure investment and exports. Natural resources have never been an issue (gold, oil, and minerals) but it would seem that the money accrued from them is steadily finding its way back into the continent’s economies as Africa’s own investors look to back themselves.

Another huge shift in Africa’s favor is coming from what global experts had long thought was its weakness. According to reports, it’s estimated that the continent will be home to 42% of the world’s youth by 2030, and a quarter of the global population will be African by 2050.

Taken by itself, this ‘youth quake’ could be viewed as destabilizing, but there are other themes at play in the story. African nationals who have been working in the West for years, particularly those not yet on the property ladder, are returning with skills, experience and savings.

“It will have a massive impact because the youth are faster adopters of technology,” Coquillon tells FORBES AFRICA.

“Whether it be decentralized financed or artificial intelligence, there’s going to be a drive towards entrepreneurship and innovation as all those previous barriers to entry begin to subside.”

Katlego Maphai, the CEO of Yoco, one of South Africa’s leading fintech companies, concurs, saying, “With 60% of the continent’s population under 25, this youthful demographic is both adopting and driving innovation, particularly in fintech, where mobile money services now boast over 800 million

registered accounts, creating an ecosystem where Africa’s future economy will increasingly be powered by local enterprises dealing with local needs at scale.”

When it comes to technological innovation, Nigeria and Kenya–playfully dubbed ‘Silicon Savannah’–continue to exceed expectations.

Fintech and startup ecosystems seem to have investors pledging significant sums–according to global investment platform, Partech, $3.2 billion in funding was dispersed across Africa’s tech startups in 2024.

“Africa’s economic trajectory is being reshaped by unprecedented startup growth and investment,” Maphai explains.

“In January 2025 alone, African startups secured $289 million in funding—a remarkable 240% increase year-on-year.”

Infrastructure, once a deterrent to outside investment, can still be a massive headache in some regions. However, internet connectivity has aided Africa’s transformation into a hub for business activity. Rapid urbanization and a booming technological sector now encapsulate the continent.

So, what or who is next? South Africa, Egypt, and Nigeria are well-established as continental hubs but which nations are worth keeping an eye on?

Granted independence in 2011, oil-laden South Sudan was engulfed by civil war until 2018, leaving it economically vulnerable. In recent years, significant reconstruction efforts have optimized the country’s oil output, amounting to its reported, projected $5.31 billion GDP in 2025. According to the International Monetary Fund (IMF), it’s expected to rise by 27.2% in 2025, making it the fastest-growing economy worldwide.

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Like South Sudan, Libya’s recent history is one of political unrest and civil war. But that is partly because it holds the second-largest oil reserve in Africa. Its GDP is forecast to grow by 12.3% this year, according to the World Bank.

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Senegal’s soaring hydrocarbon and agriculture sector has the country rapidly showcasing its potential, and viewed, alongside Morocco, as an emerging hub for West African trade.

There have been substantial investments in its infrastructure, notably in the digital sphere. With an expected GDP of $37.8 billion in 2025, the IMF, in late 2024, predicted a 9.3% rise.

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The country has always been agriculturally-sound, and produces globally in-demand goods, including coffee, tea, and tobacco. Other lucrative exports include oil, gold, gas, and the huge Lake Albert Project focused on extracting crude oil. According to the IMF, the country’s expected to reach a GDP of $64.28 billion; a rise of 7.5% in 2025.