Africa Leads Growth in Solar Energy as Demand Spreads Beyond Traditional Markets, Report Says 

Solar panels are seen on the roof of a company in Nairobi, Kenya, on Sept. 1, 2023. (AP)
Solar panels are seen on the roof of a company in Nairobi, Kenya, on Sept. 1, 2023. (AP)
TT

Africa Leads Growth in Solar Energy as Demand Spreads Beyond Traditional Markets, Report Says 

Solar panels are seen on the roof of a company in Nairobi, Kenya, on Sept. 1, 2023. (AP)
Solar panels are seen on the roof of a company in Nairobi, Kenya, on Sept. 1, 2023. (AP)

Africa was the world’s fastest-growing solar market in 2025, defying a global slowdown and reshaping where the momentum in renewable energy is concentrated, according to an industry report released in late last month.

The report by the Africa Solar Industry Association says the continent's solar installed capacity expanded 17% in 2025, boosted by imports of Chinese-made solar panels. Global solar power capacity rose 23% in 2025 to 618 GW, slowing from a 44% increase in 2024.

“Chinese companies are the main drivers in Africa’s green transition,” said Cynthia Angweya-Muhati, acting CEO of the Kenya Renewable Energy Association. “They are aggressively investing in and building robust supply chains in Africa green energy ecosystem.”

Some of that capacity has yet to be rolled out. Africa has only 23.4 gigawatts peak (GWp) of working solar capacity even though nearly 64 GWp of solar equipment has been shipped to the continent since 2017. A gigawatt peak represents 1 billion watts of maximum, optimum power output under ideal conditions.

“Africa's growth is driven by changing policies and enabling conditions in a number of countries,” said John Van Zuylen, CEO of the Africa Solar Industry Association.

“Solar energy has moved beyond a handful of early adopters to become a broader continental priority,” he said recently on the sidelines of the Inter Solar Africa summit in Nairobi. “What we are seeing is not temporary. It is policies aligning with market dynamics.”

Historically, South Africa dominated solar imports in Africa, at one point accounting for roughly half of all panels shipped to the continent. The latest data show its share has slipped below a third as demand surged elsewhere. Last year, 20 African nations set new annual records for solar imports, as 25 countries imported a total of at least 100 megawatts of capacity.

Nigeria has overtaken Egypt as Africa's second-largest importer as solar energy and battery storage provide a practical and affordable alternative to diesel generators and unreliable grid power. In Algeria, solar imports soared more than 30-fold year-on-year. Imports also surged in Zambia and Botswana.

At least 23 African countries, including South Africa, Tunisia, Kenya, Chad and the Central African Republic, are now generating over 5% of their electricity from solar energy, the report said.

Prices have fallen both for solar panels and batteries, mostly from China, enabling households and businesses to rely on solar plus batteries for round-the-clock electricity, the report said. Battery storage costs in Africa fell to $112 per kilowatt-hour in 2025 from an average of $144 per kilowatt-hour in 2023 as improved technology made storage systems more flexible and longer lasting.

“This ever-decreasing price of storage has game-changing implications for Africa, which has a dire need for stable and baseload power,” said Van Zuyken.

The gradual removal of diesel subsidies in Nigeria in the past two years also has helped accelerate adoption of solar energy. The policy was implemented sector by sector to cushion its impact, making diesel increasingly expensive and nudging businesses and households toward solar. In September, Nigeria announced plans for a 1 GW solar panel factory, the largest in West Africa. Similar facilities are under construction in Egypt, South Africa and Ethiopia.

As Africa moves to build its own manufacturing capacity, the industry is looking to China to transfer knowhow to help alleviate Africa’s dependence on imported equipment and technology.

Jobs won't be confined to manufacturing.

“The solar jobs boom is occurring in services including installation, maintenance, distribution and financing, where thousands of small and medium enterprises are emerging to meet rising demand,” Van Zuylen said.

Unlike regions such as the Middle East, where governments publish clear 10 or 20-year energy roadmaps, many African markets lack consistent policy signals. So, uncertainty over policies remains a challenge. Solar firms operating across Africa say unpredictable tax regimes, shifting import duties and unclear long-term energy plans undermine investor confidence.

“The problem is not the opportunity. It’s visibility,” said Amos Wemanya, senior analyst on renewable energy at Powershift Africa. “If a government announces a plan, companies need to trust that it will remain in place.”



Gold Nears $4,400 on Weaker Dollar, Reduced Fed Rate-hike Bets

Gold bracelets on display for sale at a gold shop in Istanbul's Grand Bazaar (AFP)
Gold bracelets on display for sale at a gold shop in Istanbul's Grand Bazaar (AFP)
TT

Gold Nears $4,400 on Weaker Dollar, Reduced Fed Rate-hike Bets

Gold bracelets on display for sale at a gold shop in Istanbul's Grand Bazaar (AFP)
Gold bracelets on display for sale at a gold shop in Istanbul's Grand Bazaar (AFP)

Gold drifted higher on Monday, supported by a weaker dollar and recent soft economic data that reduced expectations for a US interest rate hike next month. Spot gold rose 0.4% to $4,391.49 per ounce by 0520 GMT.

Prices hit a more-than-two-month high last week. US gold futures for December delivery edged 0.3% higher to $4,448.40, Reuters reported.

The US dollar index was down 0.2%, making greenback-priced metals ⁠more affordable for ⁠other currency holders.

"Gold has taken the ball and run with it to start the week, with soft inflation numbers keeping the US dollar under pressure and giving gold extra headroom to push towards the $4,400 level," said Tim Waterer, chief market analyst at KCM Trade.

"A sustained ⁠move above $4,500 would likely need additional dollar weakness or a clearer pullback in energy prices."

An unexpected decline in US nonfarm payrolls in July, coupled with data showing only mild consumer price inflation, has reduced expectations that the US Federal Reserve will raise interest rates next month.

Traders are now pricing in a 30% chance of a September rate hike, down from 47% a month earlier, CME's FedWatch Tool showed.

Lower interest rates reduce the opportunity ⁠cost of ⁠holding non-yielding bullion, enhancing its appeal to investors.

Markets are now awaiting minutes of the Fed's July meeting, due on Wednesday, for further clues on policymakers' monetary stance.

On the geopolitical front, US President Donald Trump's envoys met with Egyptian, Qatari and Turkish mediators in Cairo on Sunday, a diplomatic source said, aiming to advance his Gaza peace plan, even as Israel pressed on with airstrikes in the enclave.

Among other metals, spot silver rose 1.4% to $65.57 per ounce. Platinum fell 0.1% to $1,746.43, while palladium gained 1.4% to $1,331.10.


Oil Rises as US-Iran Peace Talks Stall, Hormuz Shipping Slows

WINK, TEXAS - AUGUST 13: In an aerial view, oil storage tanks are seen at the rail-fed diesel base, Exxon/Mobil Wink Transloading facility on August 13, 2026 in Wink, Texas. Brandon Bell/Getty Images/AFP
WINK, TEXAS - AUGUST 13: In an aerial view, oil storage tanks are seen at the rail-fed diesel base, Exxon/Mobil Wink Transloading facility on August 13, 2026 in Wink, Texas. Brandon Bell/Getty Images/AFP
TT

Oil Rises as US-Iran Peace Talks Stall, Hormuz Shipping Slows

WINK, TEXAS - AUGUST 13: In an aerial view, oil storage tanks are seen at the rail-fed diesel base, Exxon/Mobil Wink Transloading facility on August 13, 2026 in Wink, Texas. Brandon Bell/Getty Images/AFP
WINK, TEXAS - AUGUST 13: In an aerial view, oil storage tanks are seen at the rail-fed diesel base, Exxon/Mobil Wink Transloading facility on August 13, 2026 in Wink, Texas. Brandon Bell/Getty Images/AFP

Oil prices rose on Monday as fading expectations of a US-Iran peace breakthrough and slower tanker traffic through the Strait of Hormuz reinforced geopolitical risk concerns in the market.

Brent crude futures rose as much as 1% to $89.40 per barrel and were last trading up 72 cents at $89.20 by 0229 GMT. The US West Texas Intermediate crude ⁠futures rose 44 cents ⁠to $82.83 a barrel, Reuters reported.

Both contracts gained more than 5% last week following attacks on tankers operated by Abu Dhabi National Oil Company in the Hormuz strait and on a Saudi Aramco refinery.

Over the weekend, Iranian Foreign Minister Abbas Araghchi said Iran had not decided to resume talks with the US ⁠while US President Donald Trump urged Americans to accept slightly higher gasoline prices while the conflict continues.

"Oil prices have now rebounded almost completely from the lows seen in early August, as hopes for a more permanent resolution between the US and Iran have faded and geopolitical risk premiums have returned to the market," said Priyanka Sachdeva, head of market insights for Phillip Nova in Singapore.

"However, I see limited upside from here unless we get clear evidence of renewed aggression in the ⁠Strait of ⁠Hormuz, particularly material damage to tankers or oil infrastructure," she said.

Shipping through the Strait of Hormuz slowed over the weekend, data showed on Monday, following attacks on tankers.

Five commodity vessels transited the strait on Saturday, with none registered for Sunday, ship-tracking data from Kpler showed, versus 31 for the prior weekend.

The United Arab Emirates accused Iran of attacking a third vessel operated by ADNOC that was transiting the strait on Friday, the Emirati state news agency WAM reported, after blaming it for two other incidents involving ADNOC vessels in the strait on Thursday evening.


S&P Affirms IsDB’s 'AAA' Rating

S&P Affirms IsDB’s 'AAA' Rating
TT

S&P Affirms IsDB’s 'AAA' Rating

S&P Affirms IsDB’s 'AAA' Rating

Standard & Poor’s (S&P) has affirmed the Islamic Development Bank’s (IsDB) long-term issuer credit rating at “AAA,” with a stable outlook, and its short-term issuer credit rating at “A-1.”

The ratings reflect S&P’s assessment of IsDB’s strong financial position, supported by high levels of capital and liquidity, as well as continued support from its shareholders.

S&P highlighted IsDB’s vital policy role in advancing economic development and social progress in its member countries.

It noted the targeted growth in financing under IsDB’s strategy for the next decade, which focuses on promoting inclusive growth, climate action, and strengthening partnerships among member countries.

Despite geopolitical tensions, IsDB has demonstrated a strong capacity to fulfill its mandate, reflecting the shareholders’ ability and commitment to providing the necessary support.

S&P expected any potential risks to be contained through the diversification of IsDB’s portfolio, prudent capitalization policies, and the strength of its financial position.