Top 10 African Countries with the Highest GDP in 2025

In Summary

• Africa’s economic scale has deepened, with regional GDP surpassing $3.1 trillion in 2025, a result of sustained fiscal reforms, manufacturing expansion, and diversified exports.
• Monetary stabilization, regional trade through AfCFTA, and renewed industrial policy are fueling structural transformation across sub-Saharan and North African economies.
• Africa’s largest markets reflect not only size but also their growing economic complexity, including industrial corridors, fintech hubs, sovereign wealth initiatives, and green energy investments.

Deep Dive!!

Lagos, Nigeria, Monday, October 6, 2025 - Africa’s economy in 2025 presents a picture of steady maturity and regional depth. With Statista data placing the continent’s collective GDP above $3.1 trillion, the top-performing nations illustrate how policy discipline, private capital inflows, and sectoral diversification are converging to create enduring growth momentum. The narrative is no longer about volatility but about deliberate economic engineering, a redefinition of how African states build, sustain, and expand their wealth base.

Africa’s largest economies have spent the past five years recalibrating for structural stability. Fiscal realignments, sovereign wealth accumulation, and a shift toward domestic industrialization have insulated many states from external shocks.

In 2025, growth is driven less by commodity windfalls and more by domestic sectors such as manufacturing, financial services, ICT, and infrastructure, which fuel North Africa’s industrial corridors, East Africa’s technology-driven economies, and West Africa’s resurgence in energy and logistics.

At the center of this transformation is policy coherence. Governments are aligning macroeconomic targets with tangible reforms, stabilizing currencies, modernizing tax systems, and incentivizing private manufacturing. The African Continental Free Trade Area (AfCFTA), now deep into its implementation phase, has begun to reduce tariff barriers, enabling intra-African trade to rise by double digits in several regions. 

Yet beyond the numbers, what defines 2025 is structural intelligence. Nations are using economic planning as an instrument of competitiveness, targeting value addition in agriculture, mineral refining, digital infrastructure, and green manufacturing. Central banks, once reactive, are now proactive in inflation management and debt coordination. The result is an Africa that is not just participating in global growth but shaping its own trajectory through domestic capacity, cross-border cooperation, and the quiet rise of institutional strength.

10. Ghana 

Ghana enters 2025 with a GDP of $88.33 billion, according to Statista, maintaining its place among Africa’s ten largest economies. Growth has held steady despite years of fiscal strain, supported by disciplined monetary policy and improved oil and gold output. The Jubilee, TEN, and Sankofa fields have continued to anchor export revenues, while moderating inflation and stronger public revenue collection signal renewed macroeconomic stability. The cedi’s performance has also benefited from tighter oversight by the Bank of Ghana, which has rebuilt reserves and contained speculative pressure on the currency.

The government’s macroeconomic repair is being guided by the IMF-supported Post-COVID Programme for Economic Growth (PC-PEG) and the Domestic Debt Exchange Programme (DDEP), both designed to restore debt sustainability and rebuild investor confidence. Revenue mobilization reforms by the Ghana Revenue Authority (GRA) have increased compliance and reduced leakages, while the rollout of digital tax systems has modernized fiscal operations. Real-sector diversification remains central to growth, with agro-processing, manufacturing, and fintech now accounting for a growing share of output. The One District, One Factory (1D1F) policy, restructured to focus on viable clusters, continues to drive industrialization, with over 125 operational factories supplying domestic and export markets.

Ghana’s growth narrative in 2025 also reflects targeted industrial ambition. The government’s Growth and Sustainability Plan (GSP) prioritizes export diversification, renewable energy expansion, and infrastructure modernization. Flagship projects such as the Petroleum Hub Development in Jomoro, the Ghana Integrated Aluminium Development Corporation (GIADEC), and new Special Economic Zones (SEZs) in Tema and Kumasi are reshaping the country’s industrial geography. These initiatives are supported by the African Development Bank (AfDB), World Bank, and other multilateral lenders under the country’s ongoing debt restructuring framework. Ghana’s 2025 performance demonstrates how steady fiscal discipline, coordinated institutions, and reform-driven policy can turn recovery into structural resilience, positioning it as one of West Africa’s most steadily advancing economies.

9. Côte d’Ivoire 

Côte d’Ivoire’s GDP reached $94.48 billion in 2025, reflecting one of the strongest real-sector performances in sub-Saharan Africa. The country’s growth is rooted in sustained expansion across agriculture, energy, and industrial exports. As the world’s top cocoa producer, cocoa and cashew continue to anchor its external revenue, but the real story is its progress in moving up the value chain, with expanded local processing, logistics, and industrial parks now handling a larger share of agricultural output. This industrial diversification, alongside reforms targeting business registration and export logistics, has strengthened its position as West Africa’s manufacturing hub.

Driving this growth is a well-coordinated national strategy. The National Development Plan (2021–2025) prioritizes infrastructure, energy independence, and industrial modernization. Through this plan, the government has mobilized over $60 billion in private and public investments, directed largely toward logistics corridors, port expansion, and industrial processing zones. Projects such as the Abidjan Industrial Park and the modernization of the Port of San Pedro have attracted multinational companies in agribusiness, fertilizer, and petrochemicals. At the same time, Côte d’Ivoire’s power sector reforms, especially the partial liberalization of electricity generation and private participation in gas production, have improved grid stability and supported the country’s industrial output, positioning it as a net energy exporter to neighboring states.

Fiscal management has also been a critical pillar of its progress. The Ministry of Economy and Finance, working with the IMF and World Bank, has pursued policies that stabilize inflation and maintain currency strength under the West African CFA franc regime. This has allowed the country to attract sustained foreign direct investment while preserving macroeconomic discipline. The government’s investment in transport, particularly the Abidjan–Ouagadougou corridor, has turned the nation into a key regional trade artery, facilitating exports across West Africa. Furthermore, Côte d’Ivoire’s financial sector, led by institutions like Banque Atlantique and Société Générale Côte d’Ivoire, continues to expand access to credit for SMEs, reinforcing its domestic private sector base.

These efforts have paid off in measurable outcomes. The World Bank projects Côte d’Ivoire’s growth rate to remain above 6% annually, among the highest in Africa, driven by strong public investment, private sector dynamism, and export diversification. The government has complemented this momentum with targeted reforms in tax administration, trade digitization, and customs transparency measures that have cut red tape and improved the business environment. By sustaining a focus on industrialization and regional integration under ECOWAS and AfCFTA, Côte d’Ivoire has effectively positioned itself as a regional growth engine, demonstrating how structural reform and industrial foresight can transform a resource-based economy into a diversified, export-driven powerhouse.

8. Angola

Angola’s nominal GDP of $113.34 billion in 2025 reflects a return of momentum after years of oil-price volatility and declining production, boosted by renewed investment in upstream projects and gradual diversification efforts. Oil remains central to Angola’s economy, with major fields such as Girassol, Dalia, and new developments in the Lower Congo Basin boosting production. The country has also pursued renegotiated production-sharing contracts to attract foreign investment and stabilize revenue streams. Meanwhile, the government has ramped up investment in gas processing and power generation, aiming to reduce domestic electricity shortfalls that have held back manufacturing and mining expansion.

Structural change has also taken root beyond hydrocarbons. The Ministry of Economy’s “Diversificação Económica 2023-2027” plan targets agriculture, fisheries, and non-oil mining sectors for export growth. Diamond and mineral processing industries are expanding through new licenses for downstream operators, while agricultural value chains, including cassava, maize, and sesame, are supported by integrated services such as transport, cold storage, and processing facilities in Huila and Benguela provinces. Port infrastructure, especially in Luanda and Namibe, has received upgrades under public-private partnership models, enhancing logistics throughput and reducing costs for landlocked neighbours. The expansion of fiber and telecom infrastructure also contributes to growing activity in digital services, which, while still a smaller share of GDP, are being encouraged through tax incentives and eased regulatory licensing by the National Communications Observatory.

Fiscal reform is unfolding in parallel. Angola is working with the IMF and World Bank to improve transparency in oil receipts, stabilize public debt (partly through debt reprofiling), and reduce subsidy burdens. Currency reforms have aimed at unifying multiple exchange rate windows to reduce distortions, and inflation-target-oriented monetary policy has regained credibility under recent Central Bank interventions. Key state institutions like the Ministry of Finance, the National Oil, Gas and Biofuels Agency (ANPG), and the National Agency for Private Investments (INAP) are collaborating on investment promotion frameworks to attract non-oil FDI, especially into agribusiness, logistics, and light manufacturing. If these reforms continue to be implemented consistently and improve service delivery and infrastructure reliability, Angola’s large GDP base has genuine potential to transition toward more diversified, resilient economic growth.

7. Ethiopia 

Ethiopia’s GDP stands at $117.46 billion in 2025, placing it firmly among Africa’s largest economies. This rise comes after a difficult stretch of macroeconomic pressure, with growth now stabilizing between 6–8% annually. Inflation, which exceeded 30% in previous years, has eased to around 16.6%, and international reserves are improving under a combination of fiscal discipline and central bank reforms. Ethiopia’s economic comeback reflects a strong commitment to restructuring its monetary system, debt management, and productive sectors rather than relying solely on external borrowing.

At the core of this progress is the Homegrown Economic Reform Agenda (HGER), supported by a $3.4 billion Extended Credit Facility from the IMF. These reforms are reshaping Ethiopia’s financial landscape by tightening monetary policy, liberalizing exchange rates, and ending direct central bank financing of government deficits. The gradual flexing of the birr has started to restore investor confidence, while new banking legislation has strengthened risk controls and opened the door for foreign investment. The government’s focus on financial transparency and improved governance has also led to positive reviews from international credit monitors and multilateral institutions.

On the ground, structural projects are transforming Ethiopia’s long-term outlook. The completion of the Grand Ethiopian Renaissance Dam (GERD), expected to generate over 5,000 MW of power, is a game-changer for industrial expansion and regional energy exports. The issuance of the country’s first investment banking licenses marks another turning point, paving the way for private capital formation and deepening financial inclusion. Debt restructuring under the G20 Common Framework has eased about $2.5 billion in obligations through 2028, allowing the government to channel resources toward manufacturing, digital infrastructure, and agricultural modernization. Together, these measures underscore Ethiopia’s shift from a consumption-based model to one anchored in reform, resilience, and sustainable growth.

6. Kenya

Kenya’s GDP stands at $131.67 billion in 2025, consolidating its position as one of Africa’s most diversified and resilient economies. Growth has accelerated to around 5.0%, up from 4.6% in 2024, supported by strong performance in agriculture, manufacturing, financial services, and logistics. Inflation, once a major concern, has eased due to consistent monetary tightening and improved food supply chains. The Central Bank of Kenya’s careful policy mix, anchored on exchange rate flexibility and prudent reserve management, has stabilized the shilling and restored investor confidence, helping to moderate import-driven price pressures.

Kenya’s current economic momentum is guided by its Bottom-Up Economic Transformation Agenda (BETA), which focuses on industrial value chains, digital infrastructure, and public financial discipline. The government has capped its fiscal deficit at 4.5% of GDP for 2025/26, down from 5.1%, as part of a broader consolidation effort to reduce debt servicing pressure. At the same time, regulatory reforms in the manufacturing sector are being advanced through open dialogue between the Ministry of Industry and private stakeholders, aimed at removing structural bottlenecks and improving export competitiveness. Kenya is also revising its partnership with the IMF to align with its new fiscal framework and ensure continuity in credit support while pursuing long-term debt sustainability.

Externally, Kenya continues to attract development financing for strategic sectors. A $169 million Samurai bond from Japan is being channeled into vehicle assembly and energy infrastructure, particularly to curb electricity transmission losses that previously cost nearly a quarter of national output. The World Bank and IMF have both highlighted Kenya’s improvements in tax administration, transparency, and public financial management as key to maintaining its growth momentum. With strong institutions, expanding regional trade under the African Continental Free Trade Area (AfCFTA), and a steady pivot toward manufacturing and green energy, Kenya’s 2025 outlook reflects an economy that is not only stabilizing but maturing into a continental hub for innovation, industry, and sustainable investment.

5. Morocco 

Morocco’s GDP in 2025 stands at $165.84 billion, marking another year of steady expansion built on sound macroeconomic management, renewable energy leadership, and export diversification. The country’s growth remains supported by its $4.5 billion IMF Flexible Credit Line, a facility reserved for economies with strong policy credibility and shock resilience. Morocco’s fiscal deficit has been reduced to around 3.5% of GDP, while the debt-to-GDP ratio is projected to fall below 67%, showing discipline in public spending and improved debt management. Tax revenue has also risen significantly, up by MAD 25.1 billion as of mid-2025, driven by tighter tax administration and stronger corporate earnings.

The engine behind Morocco’s economic strength lies in its long-term industrial and energy strategy. Renewable energy now accounts for 45% of the country’s power mix, with projects like the Noor Ouarzazate solar complex, Tarfaya wind farm, and the upcoming Jbel Lahdid solar park forming the backbone of this transformation. Morocco has set an ambitious goal to exceed 52% renewables by 2030, positioning itself as Africa’s green industrial hub. Agriculture continues to play a stabilizing role, accounting for roughly 16% of GDP and nearly a fifth of exports, while the World Bank-backed Agri-Food Systems Transformation Program is helping modernize irrigation systems, improve value chains, and boost climate resilience across key farming regions.

Forward-looking policies are deepening Morocco’s role in global value chains. The government’s Green Hydrogen Strategy, known as the “Morocco Offer,” has allocated nearly one million hectares of land for hydrogen and ammonia projects, attracting consortia from Europe and the Gulf. Parallel investments in an LNG terminal near Nador, high-voltage transmission networks, and port infrastructure at Kenitra and Dakhla are strengthening industrial supply routes and logistics. With reforms that ease private sector participation in energy and transport, Morocco is steadily evolving into a continental manufacturing and clean energy hub. Its consistent policy execution, financial prudence, and sustainable industrial drive explain why its economy continues to outperform most of its peers in North Africa and beyond.

4. Nigeria

Nigeria’s GDP in 2025 stands at $188.27 billion, maintaining its position as one of Africa’s largest economies despite a challenging transition marked by currency reforms and structural adjustments. The decline in nominal GDP from earlier years is largely the result of the naira’s market-driven valuation, following the unification of exchange rates in mid-2023. Yet, in real terms, Nigeria’s economy is showing measured resilience. Sectors such as agriculture, telecommunications, and financial services continue to post positive growth, while oil production has recovered modestly, averaging 1.52 million barrels per day in Q2 2025, up from 1.35 million in 2024. Inflation, though still elevated, has begun to ease as monetary policy tightens under the Central Bank’s inflation-targeting framework.

Nigeria’s 2025 performance reflects the growing impact of macroeconomic reforms introduced under the Renewed Hope Economic Plan. The removal of fuel subsidies, liberalization of the FX market, and fiscal coordination between federal and subnational governments have helped narrow the fiscal deficit to 4.7% of GDP, compared to 6.1% in 2023. The Central Bank’s push toward market stability through open-market operations and higher interest rates has attracted foreign inflows, while the Treasury’s digital tax drive has improved non-oil revenue collection. Nigeria’s banking sector, led by recapitalization plans announced in 2025, is also strengthening its capital adequacy to support credit expansion for small and medium enterprises, especially in manufacturing and fintech.

Beyond macro policy, Nigeria is advancing sector-specific reforms designed to translate fiscal stabilization into real economic activity. The Presidential CNG Initiative aims to reduce dependence on imported fuel while cutting transportation costs by 30%, and the newly inaugurated Lekki Deep Sea Port is positioning Lagos as West Africa’s logistics gateway. Power sector reforms under the Electricity Act 2023 have enabled state-level generation and distribution, opening new investment opportunities in renewable energy and mini-grid projects. Meanwhile, the Nigerian Startup Act, backed by a $618 million tech fund, continues to attract digital entrepreneurs and foreign venture capital. Despite short-term pains, these measures are gradually realigning Nigeria’s growth path toward productivity-driven expansion, economic diversification, and long-term financial credibility.

3. Algeria

Algeria’s GDP stands at $268.89 billion in 2025, making it the third-largest economy in Africa and one of the continent’s most strategically stable energy producers. The country’s nominal GDP has risen steadily over the past two years, driven by sustained hydrocarbon exports, expanding industrial capacity, and a gradual diversification push. Algeria benefits from strong fiscal buffers thanks to high global gas prices and its position as a top-three gas supplier to Europe, exporting over 56 billion cubic meters in 2024, mainly to Italy and Spain. Foreign reserves have rebounded to nearly $69 billion, while inflation has been contained at around 7.2%, supported by prudent monetary policy and public spending controls.

Algeria’s economic direction in 2025 is shaped by a deliberate pivot toward domestic industrialization and energy downstream expansion. The government’s Economic Recovery Plan 2020–2025, extended under the 2025–2030 framework, prioritizes industrial integration, energy transition, and non-oil exports. The state-owned energy giant Sonatrach is leading a new wave of investment in refining, petrochemicals, and liquefied natural gas (LNG) infrastructure, including the Skikda refinery expansion and the Arzew petrochemical complex, which aim to capture more value locally. Meanwhile, the revival of the National Agency for the Development of Investment (ANDI) has streamlined business registration, reduced import dependency, and attracted new manufacturing investors from China, Turkey, and the UAE.

Reforms across key sectors are deepening Algeria’s economic base beyond hydrocarbons. Agriculture, bolstered by subsidies for irrigation and mechanization, is projected to contribute over 14% of GDP by 2026, while the country’s emerging renewable energy sector is receiving unprecedented attention. Under the National Renewable Energy Development Program, Algeria targets 15,000 MW of solar capacity by 2035, with the first 3,000 MW projects already underway in Adrar, Ghardaïa, and Tamanrasset. Fiscal reforms have also expanded local production incentives, reducing non-essential imports and creating jobs through public-private manufacturing partnerships. By consolidating fiscal stability, modernizing its energy mix, and gradually opening its investment climate, Algeria is positioning itself not only as a reliable energy supplier but as a North African industrial hub with long-term growth sustainability.

2. Egypt 

Egypt’s economy, valued at $475.23 billion in early 2025, maintains its position as one of Africa’s most diversified and structurally resilient. Its growth trajectory continues to be underpinned by state-led infrastructure expansion, industrialization, and the steady rise of export-oriented sectors such as chemicals, fertilizers, textiles, and ICT. Despite external shocks from global inflation and currency volatility, Egypt’s reform resilience, anchored in fiscal discipline and institutional coordination, has kept the country’s macroeconomic framework stable. The Central Bank of Egypt (CBE) has tightened monetary policy to stabilize the pound while prioritizing local production and inflation control.

At the heart of Egypt’s 2025 performance is the government’s Structural Reform Phase II Program, which builds on the earlier 2016 IMF-backed reforms that liberalized the economy. This phase emphasizes boosting industrial productivity, expanding export competitiveness, and strengthening private sector participation. Egypt’s industrial sector now accounts for 18.7% of GDP, led by large-scale projects in petrochemicals, automotive assembly, and construction materials. The Suez Canal Economic Zone (SCZone) remains a cornerstone of this transformation, attracting over $12 billion in new FDI commitments across logistics, green hydrogen, and manufacturing. Similarly, Egypt’s leadership in renewable energy, through projects such as the Benban Solar Park and the Green Hydrogen partnership with Norway’s Scatec, is positioning the country as a regional energy hub bridging Africa, the Middle East, and Europe.

Policy innovation also remains central to Egypt’s economic evolution. The National Industrial Localization Strategy and the Decent Life (Hayah Karima) rural development initiative have collectively boosted employment while enhancing infrastructure in rural and semi-urban communities. Public-private partnerships in rail modernization, housing, and digital transformation facilitated through the Sovereign Fund of Egypt (TSFE) are also fostering inclusive growth. Meanwhile, Egypt’s exports hit a record $52 billion in 2024, driven by fertilizers, electronics, and construction materials, reflecting diversification beyond hydrocarbons.

What distinguishes Egypt’s economic growth is the deliberate balance between state-led transformation and market liberalization. Even with currency and inflationary pressures, the government’s continued investment in logistics corridors, renewable energy, and local industry ensures structural resilience. With strong institutions, diversified revenue streams, and ambitious infrastructure policies, Egypt’s 2025 outlook reinforces its position as one of Africa’s most dynamic and globally integrated economies.

1. South Africa

South Africa, with a GDP of $410.34 billion in early 2025, remains Africa’s largest and most sophisticated economy, a position reinforced by the depth of its financial markets, industrial base, and policy-driven resilience. Unlike resource-heavy economies, South Africa’s growth is anchored in services, manufacturing, and advanced capital markets, which together account for over two-thirds of national output. The country’s well-regulated banking sector, dynamic Johannesburg Stock Exchange (JSE), and strong corporate governance framework continue to position it as a continental hub for investment, innovation, and finance.

The National Treasury and South African Reserve Bank (SARB) have maintained a delicate balance between fiscal discipline and growth stimulus, sustaining investor confidence amid global uncertainty. Inflation has moderated to around 4.8%, supported by prudent monetary policy and energy supply recovery. One of the most transformative shifts in 2025 is the stabilization of Eskom’s power output, after years of reform-driven restructuring and private sector participation under the Electricity Regulation Amendment Bill. This milestone has boosted industrial productivity, improved manufacturing uptime, and restored business sentiment, particularly in mining, automotive, and food processing sectors.

South Africa’s economic strategy in 2025 reflects deliberate structural reform rather than temporary rebounds. Initiatives such as Operation Vulindlela, a joint program between the Presidency and National Treasury, have accelerated regulatory reforms in energy, logistics, and telecommunications. The country’s Renewable Energy Independent Power Producer Procurement Programme (REIPPPP) continues to attract billions in green investment, while the automotive master plan aims to position South Africa as a continental export hub for electric vehicles and components. Simultaneously, ports and rail revitalization projects under Transnet’s reform plan are improving logistics efficiency and lowering export costs, key drivers behind South Africa’s growing trade performance.

Foreign capital inflows remain strong, with FDI surpassing $10 billion in 2024, led by renewable energy, finance, and ICT. The government’s renewed focus on industrial clusters and special economic zones (SEZs) has spurred growth in regions such as Gauteng, KwaZulu-Natal, and the Western Cape. Furthermore, the country’s thriving fintech and creative industries are reshaping its service exports, contributing to a more diversified and tech-driven GDP composition.

In essence, South Africa’s economic dominance in 2025 is not simply a product of scale but of structure, a reflection of sustained reform, institutional stability, and innovation-driven growth. Its ability to combine advanced market sophistication with emerging industrial renewal makes it a critical economic anchor for Africa and a model of long-term resilience on the global stage.

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