A sharp decline in Chinese development finance is transforming Africa’s energy investment landscape, according to the IEA’s World Energy Investment 2025 report. With Chinese funding for African energy projects down over 85% since 2015, the continent is turning to private capital—especially for clean energy solutions. Beijing’s retreat led to public and DFI funding falling from $28 billion in 2015 to $20 billion in 2024. Private investment has picked up the slack, rising from $17 billion in 2019 to nearly $40 billion in 2024, thanks to the falling costs of solar power. However, private investors have largely concentrated on commercial and industrial solutions, due to concerns about the profitability of residential energy.
SEMAFOR
