Africa’s economic landscape has undergone a significant transformation since 1990, with nominal GDP increasing more than fourfold to an estimated $2.81 to $2.83 trillion in 2026. However, despite this substantial growth, the continent’s share of global output remains modest, highlighting persistent challenges in achieving economic convergence with wealthier regions.
In 1990, South Africa stood as the continent’s largest economy, boasting a GDP of $126.03 billion. This position reflected its relatively advanced manufacturing base and established financial system. Egypt followed closely with $96.09 billion, benefiting from state-led industrial activity and the strategic importance of the Suez Canal. Nigeria, with a GDP of $87.54 billion, ranked third, heavily reliant on oil exports but lacking significant diversification.
Algeria recorded $67.17 billion, largely driven by hydrocarbon resources, while the Democratic Republic of the Congo produced $41.45 billion despite its vast mineral wealth and institutional weaknesses. Morocco posted $32.66 billion, narrowly ahead of Libya at $31.63 billion. Angola ($16.53 billion), Kenya ($16.22 billion), and Ghana ($15.88 billion) completed the top ten, illustrating a continent where economic output remained relatively limited compared to developed nations.
By 2026, the economic rankings have shifted, though not dramatically. South Africa is projected to remain the largest economy, with a GDP of $443.64 billion, sustained by its industrial capacity, capital markets, and diversified services sector. Egypt ranks second at $399.51 billion, benefiting from the Suez Canal, tourism, and infrastructure investments, though it faces challenges related to currency weakness and public debt.
Nigeria, projected at $334.34 billion, falls to third place despite having Africa’s largest population, exceeding 200 million people. While sectors like telecommunications, agriculture, and finance have grown, the country continues to grapple with power shortages, transport bottlenecks, and policy uncertainty. Algeria follows with $284.98 billion, still heavily dependent on oil and gas, making its growth vulnerable to fluctuations in global energy prices. Morocco, at $196.12 billion, completes the top five, supported by manufacturing, exports to Europe, and expanding renewable energy capacity.
Several other economies have gained prominence in recent decades. Kenya, projected at $140.87 billion, has solidified its position as East Africa’s commercial and financial hub. Ethiopia, at $125.74 billion, remains one of the fastest-growing economies despite internal conflict, driven by large public investments and energy projects. Ghana is projected to reach $113.49 billion, supported by gold, cocoa, and services, although recent fiscal pressures have slowed its momentum. Côte d’Ivoire, at $111.45 billion, has combined strong growth with rising oil production and infrastructure spending. Angola, projected at $109.86 billion, remains constrained by its reliance on crude oil exports.
Despite these growth figures, Africa’s share of global GDP is expected to be just over 2% in 2026. This underscores a fundamental challenge: economic expansion has not kept pace with population growth or the scale needed to close the gap with wealthier regions. For many African countries, the next phase of development will depend less on simply increasing output and more on improving productivity, fostering industrial development, and establishing policy stability. These factors will be crucial in determining whether rising GDP figures translate into lasting prosperity for the continent’s growing population.
