Tunisia played key role in North Africa’s foreign investment surge
Foreign Direct Investment (FDI) in Tunisia increased by 21% in 2024 compared to the previous year, Zawya reported referencing the World Investment Report published on June 20th by the United Nations Conference on Trade and Development (UNCTAD).
Zawya is a business and financial news site owned by the London Stock Exchange Group company which reports on the Middle East and Africa.
The report highlighted Tunisia’s contribution to a broader regional trend, with the country playing a “significant” role in the rise of new investment projects in North Africa. The region recorded a 12% increase in investments, reaching $76 billion, representing two-thirds of total investment spending across the continent.
Tunisia alone reached $936 million and announced new projects valued at $13 billion, alongside a marked increase in the number of project commitments. Among these was a renewable energy megaproject worth $6 billion, one of seven continent-wide projects valued at over $4 billion each in 2024.
Earlier this year, Italy pledged €400m to support Tunisia’s green energy transition, Africa News reported. The deal, formalised on January 16th, marked a twofold increase from Italy’s previous deal in 2021.
UNCTAD identified North Africa as the only region in Africa to register an increase in the value of new projects. It also attracted the highest FDI flows, reaching $51 billion, a significant increase from $13 billion in 2023.
Across the continent, FDI inflows rebounded significantly, rising by 75% to reach $97 billion in 2024. This accounted for 6% of global FDI flows, up from 4% in 2023. According to the report, the increase was largely driven by an international financing agreement for urban development projects in Egypt. Even without this agreement, foreign investment in Africa grew by 12%.
UNCTAD noted that 36% of investment policy measures implemented in Africa during 2024 were geared toward facilitating investment. Liberalisation efforts continued to shape policies across both Africa and Asia, accounting for one-fifth of all measures adopted this year.
European investors maintained the largest stock of FDI in Africa, followed by the United States and China. Chinese investment, currently valued at $42 billion, is increasingly diversifying into sectors such as agribusiness and pharmaceuticals.
Zawya, Africa News
Want to chase the pulse of North Africa?
Subscribe to receive our FREE weekly PDF magazine
