Iran War Seen Boosting Africa’s Renewable Energy Deals

Article content(Bloomberg) — Private renewable-energy investments in Africa are set to accelerate as the Iran war drives nations to try and cut their dependence on imported oil and gas.Sign In or Create an AccountEmail AddressContinueor View more offersArticle contentMore funds are also likely to flow to businesses that are less dependent on importation of raw materials, African Private Capital Association Chief Executive Officer Abi Mustapha-Maduakor said in an interview.Article contentWe apologize, but this video has failed to load.Try refreshing your browser, ortap here to see other videos from our team.Article content“What we are predicting is that we’re going to see even more renewable energy transactions,” she said. Article contentArticle contentSuch investment would help cushion economies hurt by the sudden hike in prices. Countries including Kenya, Rwanda, Zambia, Tanzania, Namibia and South Africa have increased regulated fuel prices, with some implementing tax cuts and subsidies to contain prices.Article contentTop StoriesGet the latest headlines, breaking news and columns.There was an error, please provide a valid email address.Sign UpBy signing up you consent to receive the above newsletter from Postmedia Network Inc.Thanks for signing up!A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of Top Stories will soon be in your inbox.We encountered an issue signing you up. Please try againInterested in more newsletters? Browse here.Article contentThe number of private investments in Africa increased by 8% last year, making it the only region globally to record growth, as other continents experienced a contraction. While the value declined for a third consecutive year to $5.1 billion, the pace slowed to 5% from 22% in 2023 and 9% in 2024, she said. Article content“It’s a bit early for us to predict whether deal activity will increase and out-pace what we saw last year,” she said. “We’re seeing institutional investors still allocating capital, we’re seeing fund managers still making investments.”Article contentThe finance industry received the bulk of the investment last year, followed by information technology. Southern Africa was the top destination followed by East Africa, which recorded the strongest growth in deal value, rising 75% year-on-year, largely driven by renewable energy and distributed power investments, she said.Article contentThe Next Africa newsletter runs every weekday. Sign up here for the newsletter, and subscribe to the Next Africa podcast on Apple, Spotify or anywhere you listen.Article contentTrending US Seizes Iranian Ship in Blockade, Casting Doubt on Peace Talks PMN Business Posthaste: Why Canadians might be doomed to suffer a 'new normal' for oil prices News Brace for gas price 'shock' in inflation numbers out Monday, say economists Economy A rise in mortgage rates may ‘pull the rug' out from under the spring housing market, says CREA Mortgages Disney debuts giant screen brand for cinemas to rival Imax Retail & Marketing Share this article in your social networkCommentsYou must be logged in to join the discussion or read more comments.Create an AccountSign in Join the Conversation Postmedia is committed to maintaining a lively but civil forum for discussion. Please keep comments relevant and respectful. Comments may take up to an hour to appear on the site. You will receive an email if there is a reply to your comment, an update to a thread you follow or if a user you follow comments. Visit our Community Guidelines for more information. US Seizes Iranian Ship in Blockade, Casting Doubt on Peace Talks PMN Business Posthaste: Why Canadians might be doomed to suffer a 'new normal' for oil prices News Brace for gas price 'shock' in inflation numbers out Monday, say economists Economy A rise in mortgage rates may ‘pull the rug' out from under the spring housing market, says CREA Mortgages Disney debuts giant screen brand for cinemas to rival Imax Retail & Marketing