Africa and Europe enter investment driven era
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Africa and Europe enter investment driven era
The relationship between Africa and the Europe Union (EU) has entered a more pragmatic era.
By Leon Louw founder of WhyAfrica and editor of the WhyAfrica magazine.
Africa has become an important piece of the geopolitical puzzle as major powers battle it out for influence on the continent.
The European Union (EU) is betting big in Africa, and it has shown its hand by investing in strategic infrastructure developments like the Lobito Corridor.
The EU, together with the United States and other partners under the Global Gateway initiative, has committed significant funding to modernise the Lobito Corridor and rehabilitate the Benguela railway line, linking Angola’s Atlantic coast to Zambia and the Democratic Republic of Congo (DRC).
This corridor will become a gateway for transporting critical minerals from Central Africa to global markets, positioning Angola as a key transit and trade hub.
A shift in European engagement
The project represents a shift in Europe’s engagement with Africa from aid-driven relationships to investment-focused partnerships that is in line with African development priorities and European strategic interests.
The EU–Egypt Summit in Brussels two weeks ago further reflected this approach. The meeting between European leaders and President Abdel Fattah el-Sisi formalised the EU–Egypt Strategic and Comprehensive Partnership, supported by a €7.4 billion investment package over three years.
The focus was on economic resilience, trade, migration, and security cooperation across the Mediterranean and Red Sea corridors.
A few days earlier, Italy’s Prime Minister Giorgia Meloni met President Sisi in Sharm El-Sheikh to strengthen bilateral ties and coordinate regional efforts on energy, agriculture, and stability, underscoring Italy’s growing role as Europe’s bridge to North Africa.
More structured partnership in the future
In southern Africa, the EUs recently announced €12-billion investment deal with South Africa highlights similar collaboration on renewable energy, critical minerals, and industrial value chains.
In the future Africa’s major economies are likely to see more structured partnerships with the EU that will be built on trade, logistics, and industrial cooperation a sure sign that the continent’s relationship with Europe is entering a more pragmatic, investment-driven era.
In picture is the Benguela railway in Angola. WhyAfrica, with the backing of our premier sponsor Remote Exploration Services (RES) followed part of the old railway through the Moxico Province during our 2023 WhyAfrica Road Trip.
Continue following WhyAfrica over the next few months as we first head to Rome, Italy, where we will be on the ground focussing on discussions about Africa’s growing links with Italy and the EU, specifically in terms of critical and defence minerals.
Early next year WhyAfrica will be visiting Zambia, focusing on mining, exploration, critical minerals, water, energy, infrastructure and ESG.
Image: WhyAfrica following the strategic Benguela railway line during the 2023 WhyAfrica Road Trip through the Moxico Province. Image credit: Leon Louw for WhyAfrica
Africa and Europe enter investment driven era