Africa Growth Forum explores high-impact investment and diaspora-led opportunities shaping Africa’s growth sectors.
Turkey and Africa are strengthening their economic partnership with a bold new goal: direct foreign investment (DFI) reaching US$40 billion by 2025.
At the fifth Türkiye–Africa Business and Economic Forum (TABEF) held in Istanbul, African Union Commissioner for Economic Development, Trade, Industry and Mining Francisca Tatchouop Belobe praised Turkey’s commitment and highlighted how this collaboration aligns with the AU Agenda 2063 — Africa’s blueprint for inclusive growth and sustainable development.
A Transformative Partnership
In her address, Commissioner Belobe thanked President Recep Tayyip Erdoğan and the Turkish Ministry of Trade for fostering a dynamic partnership rooted in mutual respect and opportunity. She noted that as the world faces inflation, climate shocks, and geopolitical tension, Turkey–Africa cooperation represents a stabilizing force in global trade and investment.
Since 2023, bilateral trade and investment between Turkey and African nations have expanded rapidly, marking one of the most significant partnerships outside the continent. The TABEF platform has become the cornerstone of this relationship, uniting governments, investors, and private-sector leaders under a shared vision of industrial transformation and sustainable prosperity.
Key Milestones in Turkey–Africa Relations
- US$10 billion: total Turkish FDI stock in Africa (2025 estimate).
- 2,000 projects executed by Turkish contractors — worth nearly US$97 billion — in infrastructure, healthcare, housing, and transport.
- 51 destinations in 39 countries served by Turkish Airlines, strengthening regional connectivity.
- 44 Turkish embassies now active across Africa (up from 12 in 2002).
- Trade volume projected to hit US$75 billion by 2024.
These figures demonstrate a steady rise in Turkish engagement across the continent — a foundation for the US$40 billion DFI goal set for 2025.
Shared Vision: AU Agenda 2063 and Mutual Growth
The AU Agenda 2063 calls for industrialization, value addition, and regional integration. Turkey’s investment approach complements these priorities, emphasizing technology transfer, local value chains, and job creation.
The 2025 TABEF theme, “Leveraging Türkiye-Africa Relations for Mutual Gains,” highlights key growth sectors:
- Renewable energy and green infrastructure
- Mining and critical minerals
- Agribusiness and food security
- Digital economy and logistics
- Construction and urban development
Commissioner Belobe stressed that in today’s uncertain economy, Africa’s success depends on partnerships that promote resilience, inclusion, and climate adaptation.
Barriers and Solutions on the Path to US$40 Billion
Achieving the investment target will require addressing structural challenges such as:
- High Perceived Risk — Currency fluctuations and regulatory uncertainty discourage long-term capital.
- Institutional Capacity — Delays in approvals and inconsistent regulation raise costs.
- Skills and Value Chain Gaps — Local capacity building is vital for sustainability.
- Climate and Sustainability Costs — Green projects require blended finance and innovation.
- Coordination with Other Global Partners — Alignment with China, EU, Gulf States, and the US will prevent overlap and strengthen impact.
By leveraging public-private partnerships, credit guarantees, and regional trade zones like the AfCFTA, Africa can position itself as a competitive and sustainable investment destination.
Similar Initiatives Across Africa
Turkey’s investment strategy reflects a broader trend of transformational projects on the continent:
| Initiative | Region | Focus |
|---|---|---|
| China’s Belt and Road Initiative (BRI) | Pan-Africa | Infrastructure and energy |
| EU Global Gateway | Sub-Saharan Africa | Green transition and digital connectivity |
| U.S. Prosper Africa | West & East Africa | Trade and private investment |
| Saudi & UAE Africa Partnerships | North & Horn of Africa | Ports, energy, and agriculture |
| Africa Growth Corridor (Japan–India) | East Africa | Infrastructure and industrial zones |
| Lekki Free Zone (Nigeria) | West Africa | Manufacturing and exports |
| Konza Technopolis (Kenya) | East Africa | Smart city and digital hub |
Each initiative offers insights into the future of Africa’s development — the need for sustainable finance, local skills, and regional value chains.
Building an Investment Ecosystem for the Future
To convert the US$40 billion vision into reality, African and Turkish leaders must focus on:
✅ Bankable Project Pipelines — clear feasibility and impact metrics.
✅ Blended Finance Instruments — guarantees and risk-sharing mechanisms.
✅ Skills Transfer and Technology Partnerships — joint ventures with local firms.
✅ Sustainability by Design — renewable energy and climate-resilient infrastructure.
✅ Integration with AfCFTA — regional manufacturing and logistics corridors.
These elements will determine whether Turkey–Africa investment becomes a template for balanced and mutually beneficial growth.
Conclusion
The goal of reaching US$40 billion in Turkey–Africa investment by 2025 is ambitious but achievable. With strategic cooperation, shared governance, and inclusive planning, the partnership could become a new model for emerging economies working together to build resilience and prosperity.
For Africa Growth Forum readers, this moment marks a shift toward a more balanced global investment landscape — one that positions Africa as a partner in designing the future of the world economy.
