According to the IDSC, Africa’s economic growth reached 3.9 percent in 2025, with the top 10 countries accounting for about 90 percent of new solar power installations. These countries added a combined 4.5 gigawatts (GW) of new solar capacity in 2025 as part of efforts to reach a target of 300 GW of renewable energy capacity by 2030.
South Africa ranked first with around 1.6 GW of new solar capacity, followed by Nigeria with 803 MW, Egypt with 500 MW, and Algeria with 400 MW. About 31.5 GW of new solar capacity is expected to be added across Africa by 2029.
The energy sector is one of five priority sectors in Egypt’s new economic development narrative, which aims to raise real GDP growth to 7.5 percent by 2030 and create 1.5 million new jobs.
Upgrading Egypt’s national power grid has also become a priority as electricity demand rises. Egypt aims to increase electricity sector output to EGP 655.6 billion in the 2025/2026 fiscal year, expand coverage to 99.8 percent, and raise annual power generation to 235 billion kilowatt-hours (kWh), up from 229 billion kWh two years ago.
The government is also planning to ensure grid stability and uninterrupted electricity supply by summer 2026 by adding 3,000 MW of solar capacity, along with 600 MW of battery storage before the summer, raising total battery storage capacity to 1,100 MW.
These steps are part of Egypt’s plan to stabilize its national power grid, increase the share of renewable energy to at least 42 percent of total electricity generation by 2030, and position the country as a regional hub for energy exchange.
In addition, Egypt is advancing renewable energy projects, including the $600 million Obelisk solar power plant in Nagaa Hammadi, funded through a mix of financing, including $150 million from the European Investment Bank, $160 million from the African Development Bank, and more than $100 million from the European Bank for Reconstruction and Development (EBRD).
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