Morocco has emerged as Africa’s leading industrial economy, overtaking South Africa in a major shift highlighted in the latest African Development Bank (AfDB) report. The AfDB unveiled its 2025 Africa Industrialisation Index during its Annual Meetings in Brazzaville, crediting Morocco’s rise to strong industrial policies, export diversification, and sustained manufacturing growth. The report reflects Morocco’s growing position as a key manufacturing and export hub connecting Africa, Europe, and the Middle East. According to the AfDB, Morocco’s long-term industrial strategy and investments in s

Morocco has emerged as Africa’s leading industrial economy, overtaking South Africa in a major shift highlighted in the latest African Development Bank (AfDB) report.

The AfDB unveiled its 2025 Africa Industrialisation Index during its Annual Meetings in Brazzaville, crediting Morocco’s rise to strong industrial policies, export diversification, and sustained manufacturing growth.

The report reflects Morocco’s growing position as a key manufacturing and export hub connecting Africa, Europe, and the Middle East.

According to the AfDB, Morocco’s long-term industrial strategy and investments in sectors such as automotive manufacturing, renewable energy, aerospace, and logistics have significantly boosted the country’s industrial competitiveness.

While South Africa remains one of Africa’s largest industrial powers, the report noted that the country has faced declining competitiveness in recent years, creating room for Morocco’s rapid rise.

Africa’s industrial growth shows progress

The Africa Industrialisation Index assessed 54 African countries between 2010 and 2024 and found that 41 countries improved their industrialisation scores during that period.

Overall, Africa’s industrial performance increased by 6%, signaling gradual but important progress across the continent.

However, the report also highlighted persistent regional inequalities in industrial development.

North and Southern Africa continue to dominate industrial production and export sophistication, while many countries in East, West, and Central Africa still face challenges in manufacturing capacity and regional production integration.

Weak intra-African trade remains a challenge

Despite signs of industrial progress, the AfDB warned that Africa’s internal trade remains one of the continent’s biggest economic weaknesses.

According to the report, intra-African trade currently accounts for just 14.4% of total trade, exposing fragmented supply chains and limited industrial integration between African economies.

AfDB officials stressed that deeper regional cooperation under the African Continental Free Trade Area (AfCFTA) will be essential for accelerating industrial growth and strengthening regional value chains.

Speaking during the launch of the report, Ousmane Fall described the index as both a “diagnosis and roadmap” for Africa’s industrial future.

He emphasized that Africa’s industrial ambitions will depend heavily on reliable energy access, improved infrastructure, technical skills development, financing opportunities, and stronger regional integration.

The report ultimately signals a changing economic landscape in Africa, with Morocco increasingly positioning itself among the continent’s leading industrial and export-driven economies.

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