TUE MAY 05 2026-theGBJournal| Only four African economies are structurally positioned to sustain high-growth industrialisation, according to the 2025 RED Index of Industrial Development in Africa, released by the Business Council for Africa.
Industrialisation in Africa is not only constrained by ambition, but by structure. The RED Index identifies, with clarity and consistency, the conditions that determine whether economies can transform at scale — and finds that most African countries do not yet meet them.
Morocco, Egypt, South Africa, and Mauritius emerge as the only economies with the alignment required to sustain industrial growth. Rwanda and Nigeria show meaningful progress but remain incomplete in their trajectory, while the majority of African economies are classified as either Vulnerable or Stalled.
The Index evaluates each economy across three decisive dimensions: Engines of Industrialisation, representing foundational capabilities; Accelerators, determining the pace of transformation; and Decelerators, the structural constraints that can stall or reverse progress.
Across the continent, corruption and security instability remain the most significant decelerators, undermining institutional effectiveness and limiting the execution of industrial policy.
Grounded in the historical trajectories of economies such as South Korea, Malaysia, Vietnam, Brazil, Morocco, and Ethiopia, the RED Index isolates the factors that consistently underpin successful industrialisation. It provides a decision-making framework for countries in implementing long-term industrial strategy.
The report features a foreword by Aliko Dangote, President and Chief Executive of the Dangote Group:
“Africa’s development cannot be imported or outsourced. It must be built, owned, and sustained from within. What is required now is clarity of structure and commitment to execution.”
Arnold Ekpe, Chairman of the Business Council for Africa, added:
“This is not just an index. It is a call to action — for African policymakers, investors, and businesses to take ownership of Africa’s industrial future and commit to the structural changes required to deliver sustained growth.”
As global capital seeks scalable and resilient growth opportunities, the RED Index provides a lens for identifying where industrialisation is viable, where structural risks remain elevated, and where targeted intervention can unlock long-term value.
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