In 2025, Africa is gradually playing an increasingly important role in the global market. While at the end of the 20th century, the economies of many African countries were in decline, they are now growing, local currencies are strengthening, stocks are rising in price, and other countries are increasingly seeking to trade with African states.
South African rand and stocks are rising
The South African rand is rising at its fastest pace in two decades. Stocks are not far behind, as the weakening dollar is stimulating demand for high-yield assets outside the US.
According to Bloomberg, in August, the rand gained 3% against the dollar, its strongest performance since August 2005, while South Africa's FTSE/JSE Africa All Share stock market index increased by 3.4%, its highest monthly gain since 2006.
South African assets are once again becoming attractive to investors as the coalition government implements necessary economic reforms, the country's budget outlook improves, and the South African Reserve Bank keeps inflation in check. High prices for precious metals and other commodities, which make up the bulk of South Africa's exports, have also strengthened the rand and the attractiveness of the country's mining companies.
In August, the South African rand brought investors a 3.2% return on carry trade, which was one of the highest returns in emerging markets.
Financial services companies such as Momentum Group Ltd. and chemical producers such as Sasol Ltd. released reports last week indicating profit growth and improved prospects thanks to increased market confidence in the local economy.
At the same time, South African companies in the agricultural and automotive sectors are under pressure due to the 30% tariffs imposed by Trump on exports to the US. However, South African companies most affected by the tariffs account for less than 2% of the benchmark index.
China increases exports to Africa
China, which has been severely affected by Trump's tariff wars, is actively increasing exports to Africa. According to Bloomberg, Chinese exports to the continent grew by 25% to $112 billion over the year. Experts expect that in 2025, they may exceed $200 billion for the first time.
Nigeria, South Africa, and Egypt have become the largest African buyers of Chinese products. They are most interested in construction equipment, whose supplies to African countries grew by 63% over the year. Exports of some types of steel products more than doubled, and passenger cars doubled over the year.
Experts note that some goods destined for the US may be transshipped through Africa. In addition, in the first half of 2025 alone, Africa signed contracts with China worth $30.5 billion for construction projects. China's trade relations with Africa are strengthening and developing. Many Chinese companies are benefiting from this cooperation. Many of them are taking their brands global through Africa.
There are more billionaires and centimillionaires in Africa
Henley & Partners recently published its 2025 Africa Wealth Report, which showed that there are currently 25 billionaires, 348 centimillionaires, and 122,500 millionaires living on the continent. Experts predict that the number of billionaires on the continent will grow by 65% over the next decade.
The economies of sub-Saharan African countries are expected to grow by 3.7% in 2025, outpacing Europe (0.7%) and the US (1.4%), and by 4.1% in 2026.
According to experts, the economic growth of African countries and the increase in the number of wealthy people on the continent make Africa a key player among developing countries, as well as an important participant in the global capital market. Now, not only are African investors transferring capital to other countries, but foreign investors are also increasingly looking to Africa as a place to invest their capital for the long term.
South Africa is considered the richest country in the region, accounting for 34% of African millionaires, followed by Egypt, Morocco, Nigeria, and Kenya, which together account for 63% of African millionaires and 88% of billionaires. At the same time, Mauritius, the sixth richest country in Africa, has seen the highest growth in the number of wealthy people on the continent over the past decade—63%—largely due to political stability, effective taxation, and a program to obtain residency permits for investments in the country.
Investment policy in Africa is increasingly focused on innovation and sustainable development. Google recently allocated $25 million to food security and artificial intelligence initiatives in Africa. This underscores the growing interest of the global community in financing small and medium-sized companies on the continent, which account for 80% of jobs but often lack access to capital.
According to experts, the growth in the number of millionaires in Africa is both a signal and a test. It is a signal that, despite the difficulties in Africa, wealth is being created and preserved. At the same time, it is a test of whether the continent will be able to use this growth to its advantage and turn it into economic transformation for African countries. Time will show.
Africans against the Mercator map
Economic success has prompted Africans to think about equality in other aspects of life. In August, the African Union, a group of 55 countries on the continent, supported a campaign to replace the Mercator map in organizations around the world with alternative options, such as the 2018 “Equal Earth” map, which reflects the true size of Africa.
The fact is that the Mercator map, created for the convenience of European sailors in the 16th century, distorts the contours of the land. Thus, on some versions of the map, the island of Greenland, with a population of 57,000, looks as large as Africa, a continent with a population of 1.5 billion. According to representatives of the African Union, this creates a false impression of Africa and marginalizes the African continent. The African Union is expected to make an official decision to switch to the Equal Earth map in February 2026, when African leaders meet in Ethiopia.
In a petition circulating on the internet, campaigners are also calling on the UN and other international institutions to use the Equal Earth map to set a new standard and ensure that Africa is accurately represented as an important member of the global community. According to the activists, maps shape people's perceptions of the world and their perception of power. By correcting the map, they want to correct the international perception of Africa. According to The New York Times, the African Union has stated that it intends to fight discrimination against the continent and restore Africa's rightful place on the world stage.
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