This blog is based on the analysis, Growth Opportunities: Africa as an Emerging Growth Continent, conducted by Frost & Sullivan’s growth experts from the TechVision Megatrends team.
Africa is entering a new chapter in its development journey — one driven by industrial expansion, digital disruption, regional trade integration, and a young, rapidly growing population. With GDP projected to reach $4.5 trillion by 2025, Africa is expected to be the second fastest-growing region globally, offering high-impact investment and innovation opportunities across critical sectors.
In Frost & Sullivan’s latest whitepaper, “Growth Opportunities: Africa as an Emerging Growth Continent,” we explore how organizations can align with the continent’s evolving growth levers and identify where long-term strategic advantage can be captured.
Download the full study to explore sector outlooks, regional trends, and transformation signals shaping Africa’s future.
Sectoral Momentum: Where Investment Is Flowing
- Automotive — Scaling Production and Regional Hubs: Africa’s vehicle manufacturing sector is expanding rapidly. Between 2020 and 2023, production grew from 562,000 to 811,000 units — a 3% increase. The Association of African Automotive Manufacturers (AAAM) forecasts new vehicle sales to reach 5 million by 2035. Morocco and South Africa lead the market, accounting for 80% of Africa’s automotive exports.
Company to Action:
Rolls-Royce Power Systems is strengthening its presence by establishing a new East Africa headquarters in Kenya, adding to its existing operations in Cape Town and Johannesburg.
- Pharmaceuticals — Localizing Supply Through Regional Integration: Africa still imports the majority of its packaged medicines, but the African Continental Free Trade Area (AfCFTA) is driving a shift toward regional pharmaceutical manufacturing and research.
Company to Action:
Sushen Medicamentos, in partnership with U.S. physician Dr. Michael Obeng, is building a $50 million pharmaceutical plant in Ghana, focused on drugs for hypertension, malaria, diabetes, and pain relief.
Download the whitepaper to explore additional company case studies and strategic sector profiles.
Innovation Frontiers: Super Apps and Space-based Intelligence
- Super Apps: Platform Convergence in Mobile-first Markets: With rising mobile adoption, limited access to traditional banking, and a young, digitally native population, super apps are gaining traction across Africa. These apps integrate payments, e-commerce, transport, and social services — meeting the continent’s demand for convenience and connectivity.
- Space Data-as-a-Service (DaaS) — Real-time Insights from Low Earth Orbit: Satellite-enabled Data-as-a-Service (DaaS) platforms are making high-resolution Earth observation and communication data available to non-space sectors. Industries like agriculture, logistics, and energy are using Low Earth Orbit (LEO) data to drive real-time, predictive decision-making.
Demographics and Trade: Foundations for Scalable Growth
Africa will account for 42% of the global youth population (ages 15–24) by 2030 and 27% of the global Generation Alpha. Workforce numbers are projected to reach 529 million in 2024, up from 404 million in 2014.
On the trade front, Asia accounts for 40% of Africa’s exports, ensuring strong external demand for African goods. Urbanization is accelerating — over 50% of Africa’s population is expected to live in urban areas by 2050 — driving infrastructure and smart city investments.
Download the study to explore demographic, economic, and urbanization insights shaping market entry strategies.</p
Conclusion: Strategic Opportunity Demands Proactive Positioning
Africa’s economic evolution is not a distant possibility — it is an unfolding reality. With abundant resources, rising innovation, and a demographic profile built for growth, the continent presents a compelling opportunity for companies looking to expand into future-ready markets.
The whitepaper highlights that first-mover advantage lies with those who invest early in Africa’s most promising industries — automotive, pharmaceuticals, energy, and digital ecosystems.
Want tailored guidance on where your organization fits into Africa’s transformation?
Write to us at hello@frost.com to schedule a Growth Strategy Session with our experts.
Or simply Download the Whitepaper to get started.
