Morocco overtakes South Africa as Africa’s leading industrial economy – AfDB Report

Date: 2026-05-27
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By:  Nana Appiah Acquaye

Morocco has overtaken South Africa as Africa’s leading industrial economy, according to the latest Africa Industrialisation Index (AII), which highlights sustained industrial upgrading, export diversification, and targeted industrial policy as key drivers of the shift.

The findings were published in the Africa Industrialisation Index 2025, one of two reports launched on Monday, 25 May, on the sidelines of the ongoing African Development Bank Group Annual Meetings in Brazzaville.

The report, which assesses industrial development across 54 African countries between 2010 and 2024, indicates that 41 countries improved their industrialisation scores over the period, with overall continental performance increasing by six percent.

The index points to steady progress across multiple economies, driven by policy reforms, infrastructure development, and efforts to expand value addition and manufacturing capacity within domestic markets.

According to the report, Morocco’s rise to the top of the rankings reflects sustained gains in industrial competitiveness, export diversification, and strategic investment in manufacturing sectors, enabling it to surpass South Africa, which has historically led the continent’s industrial landscape.

Commenting on the findings, Ousmane Fall, Director for Industrial and Trade Development at the African Development Bank Group, said the report serves both as a diagnostic tool and a strategic roadmap for the continent’s industrial future.

“This report is a roadmap as much as a diagnosis. It shows that 41 of our 54 countries are now moving in the right direction, but it also reminds us that industrialisation at scale demands resilient infrastructure, value addition close to source, and finance mobilised on African terms,” he said.

The report underscores the need for continued investment in infrastructure, industrial capacity, and financing mechanisms to sustain and accelerate Africa’s industrial transformation agenda.

 

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