How UAE is taking its Africa investment into new sectors

President William Ruto and His Highness Sheikh Mohamed bin Zayed al Nahyan during the signing of a Comprehensive Economic Partnership Agreement between Kenya and UAE in Abu Dhabi. [File,Standard]

UAE investment in Africa is moving beyond traditional sectors into artificial intelligence, renewable energy, logistics and infrastructure, broadening economic cooperation.

Projects range from power plants and transport links to digital services and supply-chain facilities across several African economies.

In 2025, the United Arab Emirates (UAE) launched a US$1 billion (Sh129.1 billion) AI for Development initiative to finance artificial intelligence (AI) projects across African countries, including applications in education, agriculture and healthcare.

Renewable energy projects are also adding generation capacity in countries seeking to strengthen electricity supply, while investment in transport and logistics is supporting the movement of goods between producers and markets.

UAE entities have announced more than US$168 billion (Sh21.69 trillion) in projects across Africa since 2017, according to Financial Times analysis.

The projects cover renewable energy, infrastructure, mining and agriculture, alongside growing activity in technology, transport and logistics.

Kenya's Comprehensive Economic Partnership Agreement (CEPA) with the UAE provides a framework for greater trade and investment in technology, agriculture, infrastructure and logistics.

In Ethiopia, DP World and the government have explored developing infrastructure on the Ethiopian side of the Berbera Corridor, including dry ports, warehouses, container yards and cold-chain facilities.

The Ethiopian Investment Commission (EIC) has described the agreement as worth US$1 billion (Sh129.1 billion). The proposed facilities are intended to strengthen supply chains and provide Ethiopian businesses and exporters with additional routes to regional and international markets.

Nigeria's economic relationship with the UAE covers technology, infrastructure, agriculture and renewable energy. A UAE-Nigeria CEPA provides a framework for greater trade and investment between the two countries.

In South Africa, Dubai-based AMEA Power is developing the 120-megawatt Doornhoek Solar photovoltaic (PV) Project in North West province under a 20-year power purchase agreement (PPA) with Eskom.

The project will add renewable generation capacity as South Africa works to strengthen its electricity supply.

Across the projects, investment is reaching sectors that support economic activity, including electricity generation, digital technology, transport and trade infrastructure.

The longer-term economic gains will depend on how projects are delivered and whether the investments generate local employment, skills, supply chains and technology transfer.

The US$168 billion announced since 2017 provides a measure of the scale of UAE activity in Africa, while the range of projects shows the relationship extending into new sectors.