Alexander Onukwue

European development finance institutions were the most active investors in African private capital funds in early 2023, according to Stears research. The African Development Bank emphasized the need to mobilize more capital to address a $400 billion development financing gap, while a growing secondaries market aims to address investor concerns about exits.

The Iran war is disrupting smartphone shipments to Africa, reducing availability and increasing prices. Supply chain constraints, component costs, and weakened demand linked to the conflict have slowed shipment growth to the continent. Transsion, Africa’s top smartphone seller, faces a more challenging market due to rising supply chain costs and a memory chip shortage worsened by the Middle East crisis.

Mozambique will take a 15% stake in domestic mining ventures and ban exports of non-processed minerals to prioritize local processing. The policy aligns with similar moves in other African nations, including DR Congo and Zimbabwe, to increase government control over critical minerals like graphite, gold, copper, titanium, and tantalum. Experts warn that smelting and refining could introduce volatility into the value chain.

Nigeria’s pension fund assets increased 31% year-on-year to $22.6 billion in April, driven by growth in domestic equities and federal government securities. The pensions regulator waived a rule to encourage investments in public markets, while the Africa Finance Corporation highlighted $4 trillion in African government reserve funds available for infrastructure.

The African Development Bank (AfDB) has reduced Africa’s 2024 economic growth forecast to 4.2% from 4.4% in 2025, citing the 'expected effects' of the Middle East war. The report highlights vulnerabilities like supply chain disruptions and financing challenges, while noting an ongoing Ebola outbreak in DR Congo with over 900 cases. International donors have pledged $500 million to address the health crisis.

The Africa Finance Corporation is committing $100 million to venture capital firms backing African technology companies. This investment comes as African startups raised $3.2 billion in 2025, a 40% increase year-over-year, amid calls for increased African investment following a pullback in overseas funding due to US interest rate rises.