Africa’s economic development is shifting from a model driven by raw exports to one focused on sustainable, diversified growth. Investment in critical minerals, renewables, infrastructure and agriculture marks this transformation, according to Duncan Bonnett, a partner at Africa House.Speaking to Freight News, Bonnett said while each region maintained its own distinct growth dynamics, across the continent opportunities were being realised in specific sectors, particularly mining, energy and agriculture.Bonnett said investment in critical minerals was driving large infrastructure projects, such as railways, roads and power grids. "In West Africa, gold mines are expanding, and major iron ore projects in countries like Guinea and Liberia are progressing. While the current outlook for steel in China is down, the long-term trajectory is for continued demand," he added.“Investment into critical minerals is happening across the continent, with most of these investments accompanied by infrastructure developments that are critical for facilitating both domestic and international trade.”According to Bonnett, one area garnering continued interest is the power sector. Renewable energy projects are being rolled out as Independent Power Producers (IPPs) work to meet demand across Africa. In southern Africa, drought conditions are pressing countries like Zimbabwe and Zambia to explore renewable options and diversify away from hydropower reliance on resources like Lake Kariba, which is at critical levels.Bonnett said that although West Africa had seen major mining growth, the Sahel region, including countries like Mali, Burkina Faso and Niger, continued to face political instability due to recent coups. This environment has limited the potential for new investments. Meanwhile, Nigeria continues to attract investment despite economic challenges, with recent focus areas in solid minerals and agriculture, the latter showing promise as part of a wider move toward food security and agro-processing.A remarkable shift is under way in the agricultural sector, particularly in regions such as Côte d'Ivoire. “A decade ago the country was processing around 25% of the cocoa they were producing. By the end of the decade this will have reached 80 to 90%,” said Bonnett. “This is a seismic shift. The continent is increasingly adopting an import substitution model, particularly in commercial agriculture. Investments in downstream processing ref lect a move towards self-sufficiency and increased local production capacity.”He noted that investment in infrastructure was crucial for Africa’s transformation. A country like Angola, for instance, is working actively towards improving infrastructure, particularly integrating its road, rail and port networks from east to west and now north-south rail. “Port infrastructure is an area that we have seen particular interest in, with major companies from around the world investing in modernising facilities to boost efficiency and support the growing trade in minerals and agricultural products,” said Bonnett, indicating that while the road to self-sufficiency and economic resilience was undoubtedly long and complex, Africa’s trajectory suggested that the continent was progressively moving towards a future where it could harness its vast resources sustainably. LV
