a■ Africa faces an infrastructure funding gap estimated at between $68 billion and $108 billion annually, and public-private partnerships have emerged as an important mechanism to bridge this gap.
With the continent’s population projected to reach 1.7 billion by 2030 and the African Continental Free Trade Area forming a single market of 1.3 billion people, infrastructure development is more urgent than ever. Here are the most important PPP projects that will reshape Africa’s economic landscape in 2026.
Nigeria: The emergence of a PPP powerhouse
Nigeria is at the forefront of Africa’s PPP revolution, with an unprecedented wave of large-scale infrastructure projects reaching approval by the end of 2025.
The Federal Executive Council has given the go-ahead for PPP projects worth over N6.43 trillion, demonstrating the government’s commitment to harnessing private capital for the development of the country.
Maritime gateway project
Two innovative deep-sea ports are planned to be developed to rebuild Nigeria’s maritime infrastructure.
The $2.27 billion Bakassi Deep Sea Port will serve as an important maritime gateway for north-central and north-eastern Nigeria. Complementing this is the $1.14 billion Ondo deep-sea port, which aims to unlock the solid mineral and agricultural potential of the region.
Both projects are fully funded by private investors and represent a major shift in Nigeria’s approach to infrastructure financing.
Breakthrough in power generation
The 460MW Katsina-Ara Hydropower Plant represents an $878 million investment in sustainable energy solutions.
The project demonstrates Nigeria’s strategic shift towards cleaner power generation, with the potential to transform regional productivity and strengthen the country’s energy supply.
Combined with previously approved airport concessions and digital infrastructure projects, Nigeria has approved at least 13 PPP projects in 2025 alone.
Namibia’s green hydrogen ambitions
Namibia is attracting global attention with what could be Africa’s most innovative energy project. The Hyphen Green Hydrogen Project, worth more than $10 billion, represents a bold bet for a clean energy future.
Construction will begin in January 2025, with the first phase scheduled for commissioning by the end of 2026, and the initiative aims to produce 300,000 tonnes of green hydrogen per year by 2030.
The project will leverage Namibia’s outstanding solar and wind resources and deploy 5-6GW of renewable generation capacity to power 3GW of electrolyser capacity.
The African Development Bank recently approved a $10 million loan to support front-end engineering design studies, confirming international confidence in the project’s viability.
Beyond its environmental credentials, the project promises significant economic benefits. This is expected to create 15,000 construction jobs and 3,000 permanent jobs, 90% of which will be reserved for Namibian nationals.
Once fully operational, the project could provide enough surplus electricity to decarbonize Namibia’s entire electricity grid, potentially turning the country into a net exporter of low-carbon energy.
Further green hydrogen initiatives, such as projects by Daures Green Hydrogen Village and Cleanergy Solutions, are positioning Namibia as Africa’s green hydrogen hub. The Daures project aims to produce 180,000 tonnes of green hydrogen and 1 million tonnes of green ammonia per year, marking the sector’s rapid expansion.
South Africa: Transforming energy transmission
South Africa is pioneering an innovative approach to infrastructure financing with the Independent Transmission Projects Programme, which will allow private investment in the country’s electricity transmission infrastructure for the first time.
This ground-breaking initiative is supported by a newly designed credit guarantee instrument funded by R2 billion from the government.
This transmission expansion program will address a significant bottleneck in South Africa’s renewable energy deployment. The South African National Transmission Company’s transmission development plan calls for more than 14,000 kilometers of new high-voltage transmission lines over the next 10 years.
Private investment in these transmission lines will enable thousands of megawatts of new renewable energy capacity to be connected to areas where grid capacity is currently limited.
In support of this ambitious program, the government is issuing a R15 billion infrastructure bond to mobilize cheap capital for critical projects.
The new Infrastructure Finance and Implementation Support Agency, scheduled to be launched by March 2026, will centralize infrastructure finance functions and systematically attract private capital.
Local government PPP regulations have been revised to be completed by February 2026, while the infrastructure budgeting regime has been restructured to run four tender slots per year instead of one.
These reforms demonstrate South Africa’s determination to accelerate infrastructure development through increased private sector participation.
east africa transport corridor
The Lamu Port-South Sudan-Ethiopia Transport Corridor continues to progress as one of Africa’s most ambitious multilateral infrastructure projects.
The first three berths at Lamu Port are now completed and operational, with the ongoing Lamu-Garissa-Isiolo road construction creating an important new trade corridor linking landlocked East African countries to international markets.
Kenya continues to strengthen its position as one of Africa’s most mature PPP markets. Recent successful projects include the Nairobi-Nakuru-Mau Summit Road PPP, Kenya’s first PPP road project with an investment of $150 million, alongside major transmission line development.
Kenya’s comprehensive legal framework, updated with the Public Private Partnerships Act 2021, positions the country for continued growth in PPPs across the education, energy, health, housing and water sectors.
The country’s geothermal energy sector also follows the PPP model. The 100MW Paka project was developed for PPP financing, and the successful 155MW Opower 4 power plant and 105MW Menengai project demonstrate the feasibility of private sector participation in renewable energy expansion in Kenya.
East Africa is targeting over 5,000MW of geothermal power projects by 2035, with most development concentrated in Djibouti, Ethiopia, Kenya and Tanzania.
Zambia: Railway Renaissance
Zambia’s 2026 National Budget established an innovative framework for transport infrastructure through PPPs, with a particular focus on railway modernization. The government has introduced a tailored tax regime for rail PPPs, positioning Zambia as one of Africa’s most attractive destinations for long-term infrastructure investment.
Since announcing its 2021 PPP Strategy, Zambia has signed 10 PPP agreements in the road sector, representing a total investment of $1.7 billion. The government’s focus on rail infrastructure is aimed at reducing dependence on roads, which currently account for more than 96% of exports but face rising maintenance costs and environmental concerns.
With more PPP projects expected to be announced in 2026, Zambia’s ambition to create a well-connected, competitive and resilient transport system looks increasingly achievable. The country has overhauled its PPP framework to bring it in line with global standards, introducing clearer rules on procurement, project evaluation and dispute resolution.
Morocco’s World Cup infrastructure promotion
Morocco’s bid to co-host the 2030 FIFA World Cup is spurring significant infrastructure investment across the Kingdom.
The country aims to close a projected $37 billion infrastructure gap by 2040 through focused investments in roads, ports, airports, rail networks and energy, with more than half of the planned $4 billion investment allocation going to renewable energy.
Morocco has established itself as one of Africa’s PPP leaders, consistently mobilizing billions of dollars in private capital for innovative infrastructure projects. The country’s mature regulatory framework and strategic partnerships with international investors make it a model for other African countries looking to strengthen their PPP capacity.
Regional power integration
Energy infrastructure remains a key area for PPP investment across Africa, accounting for 78% of PPP projects in recent years.
South Africa’s Renewable Energy Independent Power Producer Procurement Program Tender Window 7 aims to procure 3,200MW of wind power and 1,800MW of solar power, making it one of the largest renewable energy procurement rounds in African history.
Major upstream oil and gas projects are also progressing, with more than $30 billion in capital expenditures being spent on the development of the Balaine Phase 3 in Côte d’Ivoire, the Agogo Phase 3 in Angola, and the Boularet Nord project in Algeria.
These projects highlight the critical role of midstream infrastructure and regional integration in Africa’s energy transition.
Challenges and opportunities
Despite the momentum, Africa’s PPP market faces persistent challenges. Projects remain concentrated in a small number of countries, with South Africa, Nigeria, Kenya, Egypt, Morocco and Uganda accounting for more than half of all PPP projects by value.
Many African governments struggle with limited resources, slow procurement processes, poor project preparation, and poor risk-sharing structures that hinder long-term private investment.
The underdeveloped nature of local and regional financial markets forces private operators to pursue international financing options, often resulting in higher costs that are ultimately passed on to the public through high user fees and taxes.
Real and perceived political risks continue to complicate investor confidence in much of the continent.
However, regulatory reform is gaining momentum. Countries such as Rwanda, Kenya, Ghana, Morocco and Senegal have made significant progress in introducing pro-investment legal reforms.
Innovative financing mechanisms such as green bonds, infrastructure bond funds, credit enhancement instruments and project preparation facilities are helping to close the bankability gap.
Looking to the future
The Infrastructure Africa 2026 conference, scheduled for March 2-3 in Cape Town, will provide an important platform to connect stakeholders and mobilize investment.
Infrastructure development is the backbone that enables trade, industrialization and sustainable development, as the African Continental Free Trade Area creates unprecedented opportunities for regional integration.
As the African PPP market matures, the focus is shifting from mere project approval to effective execution and long-term sustainability.
The projects outlined above represent more than just infrastructure development, they embody Africa’s determination to leverage a partnership between public vision and private sector efficiency to build the foundations for sustainable economic growth.
With estimated annual energy infrastructure demands of up to $170 billion, and extensive infrastructure requirements that far exceed that number, Africa’s PPP revolution is not just necessary, it is inevitable.
The question in 2026 is not whether these partnerships will shape Africa’s future, but how effectively they will be implemented to deliver tangible benefits to Africa’s growing population.
Projects moving forward in 2026 demonstrate that PPPs can transform Africa’s infrastructure landscape when structured properly, with clear risk allocation, transparent procurement, and strong political will.
Success stories from Nigeria’s deep-sea ports to Namibia’s green hydrogen ambitions prove that Africa is poised to emerge as a leading infrastructure investment destination, and that the continent’s most innovative projects are beginning to take shape.
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