Morocco Emerges as the Forefront of African Industrialization
A recent report from the African Development Bank titled "Manufacturing Index in Africa 2025" reveals that Morocco has outstripped South Africa, establishing itself as the leading industrial economy on the African continent. This significant achievement is attributed to a sustained increase in industrial value, diversification of exports, and the implementation of a robust and effective industrial policy. The report was presented alongside the inaugural "Barometer for Industrial Investment in Africa," prepared by Witba Invest in partnership with Trendio, during a session held at the annual meetings of the African Development Bank.
These reports offer the most detailed insights to date regarding the fastest industrializing countries, attractive investment destinations, and the added value generated that remains within the continent. Both reports highlight a common concern regarding the low level of industrial integration within Africa, with intra-African trade accounting for merely 14.4% of total trade. This statistic underscores the weak regional production links and the fragmentation of industrial ecosystems across the continent.
The "Manufacturing Index in Africa 2025" evaluates the industrial development of 54 African nations from 2010 to 2024, indicating that 41 countries have improved their manufacturing scores, with a continental performance increase of 6%. Notably, the most significant gains were observed among the lower-performing economies, suggesting a trend of convergence. However, substantial disparities remain, as Africa contributes less than 2% to global manufacturing output and only 1.4% of global manufactured exports. Additionally, the per capita value-added in manufacturing has declined to levels lower than those recorded before 2014.
The index further reveals that North Africa and Southern Africa dominate both production and export development. It calls for advancing integration beyond mere tariff reductions towards establishing functional economic corridors, high-quality infrastructure, and harmonized standards, all within the framework of the African Continental Free Trade Area.
Investment Insights and Future Prospects
On the other hand, the "Barometer for Industrial Investment in Africa" assesses African industrialization through three key indicators: industrial diversification, attractiveness, and production fixing. The latter measures the degree of local integration of investments. North Africa leads in these three indicators, capturing 56% of cumulative continental investment between 2020 and 2025, with Morocco and Egypt at the forefront.
The annual meetings of the African Development Bank for 2026, which include the 61st annual meeting of the Board of Governors and the 52nd annual meeting of the Board of Governors of the African Development Fund, are taking place until May 29 under the theme "Mobilizing Resources at Scale to Finance Development in Africa in a Fragmented World."
As reported by alyaoum24.com.
