Over the past two decades, China has solidified its position as the primary external financier of Africa’s energy sector, committing tens of billions of dollars to projects spanning oil production, power generation, and electricity transmission across the continent.
This energy push is part of a broader financing strategy. According to reports, China has issued 1,319 loans worth $180.9 billion to African countries since 2000, funding critical infrastructure, mining operations, transport networks, and power projects essential for economic growth.
These investments have enabled Beijing to secure access to strategic natural resources, deepen trade ties, and expand its geopolitical influence throughout Africa. China’s willingness to finance high-risk, capital-intensive projects, particularly in oil-rich and energy-deficient nations, has made it a preferred partner for many African countries seeking rapid infrastructure development.
Top 10 African countries receiving Chinese energy loans (2000–2024)
1. Angola — $27.3 billion (41 loans)
Angola dominates Chinese energy financing in Africa, receiving more than six times the amount of the next country. The majority of loans were allocated to oil production and refinery infrastructure, often backed by crude oil supply agreements.
2. South Africa — $4.5 billion (3 loans)
China has supported major electricity generation projects to help address persistent power shortages in Africa’s most industrialized economy.
3. Sudan — $4.2 billion (21 loans)
4. Ethiopia — $3.4 billion (19 loans)
Loans have funded hydroelectric dams and transmission lines, supporting Ethiopia’s ambitions to become a regional energy exporter.
5. Zambia — $3.1 billion (16 loans)
Financing has focused on hydropower and electricity infrastructure critical for mining operations.
6. Uganda — $2.6 billion (7 loans)
Loans have supported oil development and electricity expansion tied to Uganda’s emerging petroleum sector.
7. Ghana — $2.3 billion (14 loans)
China has financed power plants and grid infrastructure to stabilize electricity supply.
8. Equatorial Guinea — $1.8 billion (8 loans)
Funding has focused on offshore oil production and export infrastructure.
9. Kenya — $1.8 billion (14 loans)
10. Côte d’Ivoire — $1.6 billion (5 loans)
Loans have financed thermal power generation and industrial energy infrastructure.
China’s dominance in African energy financing underscores its strategic focus on securing long-term resource access and strengthening economic ties. While China has taken a leading role, Russia has also been actively pursuing partnerships, focusing on nuclear energy and upstream oil and gas development, positioning itself as an alternative strategic partner for African governments.
As competition from Western nations and Russia intensifies, Africa’s energy sector is emerging as a key geopolitical arena, shaping the continent’s economic future. The scale of Chinese investment, particularly in Angola, demonstrates a willingness to engage in large-scale, long-term projects that other investors may shy away from. This approach has allowed China to establish a significant foothold in a vital sector for African development, but also raises questions about debt sustainability and the long-term implications of resource-backed loans.
