Countries with the Maximum Domestic Investment from Local Sources in Africa in 2025

In recent years, African stock markets have shown remarkable growth and innovation, attracting significant foreign direct investment (FDI) and fostering local participation. Here's a snapshot of how six African nations are making strides in their financial markets.

Botswana: A Model of Sustainable Growth

Botswana's stock market ranks sixth in the African Financial Markets Index (AFMI), thanks to its first sustainable bond issuance and a robust regulatory framework. The country's governance, sustainability frameworks, and policy consistency have earned it the confidence of local investors, making Botswana a beacon of stability in the region.

Egypt: A Haven for Investors

Egypt's financial market is a magnet for FDI inflows, with a substantial retail and institutional investor base. The country's strong economic performance and progressive regulations have contributed to its appeal, making it a key player in the African financial landscape.

Ethiopia: Embracing the Future with the Ethiopian Securities Exchange

Early in 2025, Ethiopia launched the Ethiopian Securities Exchange (ESX), aiming to list approximately 90 firms within a decade. The ESX's Managing Director, Tilahun, is leading this ambitious project, setting Ethiopia on a path towards a more diverse and dynamic financial market.

Tanzania: Democratizing Access through Mobile Trading

Tanzania introduced mobile trading in 2015, a move that has democratized access to the stock market and boosted local equity participation. This innovative approach, which targets rural and digital-first investors, is a powerful tool for inclusion and growth in Tanzania's financial sector.

Rwanda: Prioritizing Local Investment

Rwanda's stock market model prioritizes domestic awareness and accessibility, making local investment a viable option for many Rwandans. The Rwanda Stock Exchange (RSE) continues to grow, thanks to digital agent-based trading and increased local listings.

Zambia: Engaging Domestic Investors through Policy and Technology

Zambia's Lusaka Securities Exchange (LuSE) has experienced a 28% year-to-date index growth, driven by domestic investor involvement and increased listings. The country's focus on digital platforms, small and medium-sized enterprises (SMEs), and progressive regulation has proven catalytic in engaging local investors and fostering growth.

These six countries serve as inspiring examples of how African nations are harnessing the power of their stock markets to drive economic growth and inclusion. As they continue to innovate and attract investment, the future of African finance looks promising.

Countries with the Maximum Domestic Investment from Local Sources in Africa in 2025