The African Development Bank (AfDB) approved a record $11 billion in investments in 2024, delivering electricity, clean water, healthcare, and jobs to millions across the continent. But while the scale of impact is significant, the Bank warns that Africa’s development remains vulnerable to global shocks, rising inequality, and structural weaknesses.
The figures were released in the Bank’s 2025 Annual Development Effectiveness Review (ADER), which details progress and challenges from the previous year. It reveals how the AfDB’s funding provided electricity access to nearly 1 million people, clean water to 5 million, and improved healthcare services for more than 14 million across the continent.
Over the last decade, the Bank says it has reached 560 million people, including 240 million women, through its core development interventions.
Powering Progress, But Not Fast Enough
Energy remains one of Africa’s most urgent needs. In 2024, AfDB-financed projects added 1,000 megawatts of electricity generation capacity, 880 megawatts of it from renewables, and expanded 2,066 kilometers of transmission lines. These efforts supported 200,000 new electricity connections, especially in rural and underserved areas.
The Bank plays a central role in Mission 300, an ambitious initiative to electrify 300 million Africans by 2030 through a $50 billion partnership with the World Bank and African Union.
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Yet, the pace of progress remains slow. Since 2020, electricity access on the continent has increased by just 4%. With over 600 million people still without power, the AfDB warns that scaling up energy financing is essential to achieving universal access.
Feeding Farmers, Supporting Industry
Agriculture also saw major investment in 2024. AfDB supported 1.5 million farmers in adopting climate-smart technologies and financed over 25,000 agribusinesses. Through its Emergency Food Production Facility, more than 12 million smallholder farmers in 35 countries received improved seeds and fertilizers, part of the Bank’s response to ongoing food security challenges and global fertilizer disruptions.
Africa’s manufacturing sector, meanwhile, posted modest gains. The report shows value-added manufacturing rose to $302 billion in 2023, up from $282 billion in 2020. Much of this growth was driven by investments in agro-industrial processing zones and expanded digital infrastructure, which brought basic ICT access to 21 million people.
Jobs, Youth, and Gender Inclusion
Employment was a key focus in 2024. AfDB projects created 260,000 new direct jobs, 46% of which were for youth and 35% for women. The Bank’s youth entrepreneurship initiative supported 6,800 startups and helped generate 86,000 new jobs for young Africans.
However, the youth unemployment crisis remains stark. An estimated 26% of African youth are still not in employment, education, or training (NEET). In response, the Bank is preparing a Youth, Skills and Jobs Action Plan (2026–2032) aimed at scaling support for this demographic.
Regional Integration Gets a Boost
The AfDB continued its push for greater regional integration, with 35% of its 2024 lending going to cross-border projects, up from 29% the previous year. These funds helped build or rehabilitate 1,200 kilometers of roads and nearly 1,700 kilometers of cross-border transmission lines, supporting the objectives of the African Continental Free Trade Area (AfCFTA).
Additionally, the Bank committed $5.5 billion, half of its annual approvals, to climate finance, underlining its commitment to green growth.
Risks on the Horizon
Despite clear development gains, the AfDB report points to serious structural risks. Poverty has declined only marginally to 31.6%, and 31% of active Bank projects are facing delays, many due to fragility and conflict in affected regions.
The Bank also notes that inflation, geopolitical volatility, and tightening global financing conditions threaten to reverse hard-won progress. These challenges form the backdrop as the AfDB prepares for the 17th replenishment of the African Development Fund, its concessional arm for low-income countries.
