The New Africa Summit, held on the sidelines of the annual Future Investment Initiative (FII) in its eighth edition in Riyadh, provided a platform for global decision-makers, ministers, and officials to explore the vast economic potential in Africa and encourage investors and capital providers to establish cross-border alliances that support growth across African countries.
Known for its vast reserves of minerals, gas, oil, arable land, and both renewable and non-renewable energy sources, Africa holds a significant portion of the world’s natural resources. The continent is home to almost all precious minerals and encompasses around 30% of the world’s mineral reserves.
Countries like South Africa, Nigeria, Algeria, Angola, and Libya account for over two-thirds of Africa’s mineral wealth, largely due to oil, with South Africa standing out for its abundance of gold and other valuable resources.
Recognizing Africa’s strategic importance, Saudi Arabia will host a Saudi-African summit in November 2023 to establish cooperation across multiple fields, fostering mutual interests, development, and stability. Saudi Arabia has already committed over $1 billion to African development initiatives through the Custodian of the Two Holy Mosques Development Initiative.
Additionally, the Saudi Fund for Development (SFD) has planned a $5 billion investment in African development projects over the next decade. ACWA Power has also invested over $7 billion in renewable energy projects across several African nations, recently announcing that its Redstone Concentrated Solar Power (CSP) project in South Africa is expected to reach its maximum capacity of 100 megawatts in the coming days.
Speaking during the event, Saudi Finance Minister Mohammed Al-Jadaan projected that Saudi private sector investments in Africa would reach $25 billion over the next decade. He noted that $5 billion is already underway, highlighting Africa’s essential role in addressing global challenges and the rapidly growing Saudi partnership with the continent.
During a panel discussion, Saudi Investment Minister Khalid Al-Falih said that Saudi Arabia would work with African countries to create beneficial investment opportunities. He noted that the Kingdom has billions in development aid across the continent, with total investments increased to approximately $45 billion, reaching the majority of African nations.
Al-Falih stressed the importance of collaboration to drive economic growth and encourage investment from Saudi companies, recognized for their effectiveness and ambition. He highlighted that Africa holds a third of the world’s mineral resources, many of which remain untapped.
“The global economy is entering a new era where minerals will drive the next stage of economic growth,” he said, adding: “We need to combine development aid with investment. We don’t want only to assist Africa; we want to work alongside it to create opportunities for investors.”
