A Wealth Assessment: Top 20 Richest Countries in Africa Revealed

Africa’s trade, industry, agriculture, and human resources make up the continent’s economy. However, so many African nations, including Cameroon, Chad, Nigeria, and Somalia, are presently at war—either with terrorist insurgencies or with one another which has brought economic pressure on these nations.

Even still, some of the world’s fastest-growing economies can be found among Africa’s 54 nations. It’s been predicted that by 2050, the African continent’s trade, agriculture, and natural resource sectors will drive its GDP to $29 trillion.

Now, as we look forward to that growth, here are the 20 richest countries in Africa as of today.

To gauge the richness of African nations, we used GDP (gross domestic product).

There are several ways to compare the richness of different countries, but one of the greatest ways is to gauge each one’s GDP. The total cost of all the commodities and services a country produces in a given year is what we are talking about here. Usually, one of two techniques is used to express GDP. The first is expressed in current US dollars (USD or US$).

In the second approach, GDP is expressed in a made-up currency called international dollars (INT) after being first adjusted for purchasing power parity (PPP), which alters each country’s GDP about its local cost of living

Nigeria —GDP: $504.2 billion 

Nigeria, which has the second-largest nominal GDP on the continent ($1.3 billion), is the richest nation in Africa, with a nominal GDP of $504.2 billion. This is a result of its human potential, a wealth of natural resources, and its second-largest GDP in purchasing power parity ($1.3 billion).

The majority of Nigeria’s economic development is concentrated in the south, while the middle and north are less advanced. The coastal region, notably in and around Lagos, is where much of the country’s economic activity takes place. The country is also the largest oil producer in Africa.

However, despite being the largest economy in Africa, Nigeria shares many similarities with other countries in the region in terms of its economic structure. Since 1985, there has been an increase in the percentage of people living in absolute poverty, from 43% to 2/3 of the population today.

Egypt —GDP: $469.1 billion

Egypt, which is located in northeastern Africa and is divided by the lush Nile River Valley, is the second-richest nation in Africa in terms of GDP PPP.

While its economy was largely centralized under President Gamal Abdel Nasser, it was liberalized under Presidents Anwar Sadat and Hosni Mubarak as a result of difficult reforms.

Egypt’s reform and economic openness program was undertaken between 2006 and 2008 to attract foreign investment and trade.

Given the nation’s arid nature, much of the population and economic activity is concentrated around the Nile, and unlike many other African countries, its economy is diverse and the largest in North Africa. Manufacturing accounted for 16% of Egypt’s GDP in 2015, wholesale and retail sales for 13%, etc.

South Africa —GDP: $411.5 billion

Africa’s third-richest country is South Africa. It’s also the continent’s most industrialized and technologically advanced country. It has a two-speed economy, one that is on par with industrialized nations and another that is desperately in need of basic infrastructure.

Even though South Africa’s natural resource extraction sector—particularly that of chromium, manganese, gold, and platinum—remains one of the largest in the nation and generates 13.5 billion dollars in GNP annually, the country’s economy has diversified since the end of apartheid, especially in the services industry.

South Africa, the richest nation in Southern Africa, accounts for 25% of the continent’s GDP and is crucial to the expansion of the area.

Algeria — GDP: $187.1 billion

In terms of GDP PPP, Algeria is the third-largest economy on the continent and the fourth-richest nation in Africa. It is one of the continent’s major producers of oil and gas. Algeria, like many OPEC nations, depends heavily on its oil exports and the erratic global market.

Through strong economic measures, Algeria has built up a substantial industrial foundation since attaining independence in 1962. Although Algeria has made great strides in building roads, highways, colleges, clinics, industries, houses, metros, tramways, etc., cementing its place as one of the richest nations in Africa, the Algerian economy has had several difficult periods.

Despite being the richest nation in the Maghreb, Algeria’s economy is still heavily dependent on the sale of oil and gas, the nation’s principal source of revenue. The country has failed to diversify its economy and establish a foundation of manufacturing that is competitive on a global scale.

Morocco —GDP: $142.9 billion

With a predicted GDP of $142.9 billion in 2022, the Kingdom of Morocco, a market economy that has grown at an average annual rate of 4% over the past ten years, will rank sixth in terms of wealth in Africa.

The nation’s three main export businesses are phosphates, which Morocco holds the world’s greatest deposits of, the agricultural and agri-food sector, and the automobile industry, which accounts for 28.5% of exports.

The fact that Morocco is one of the richest nations in Africa is largely due to tourism, which makes up 7% of the nation’s GDP.

Angola — GDP: $124.8 billion

The sixth richest nation in Africa is Angola, whose economy is heavily dependent on the mining and export of natural resources including minerals and oil. Despite independence for four decades and civil wars, economic growth exploded from 2002 to 2016 and averaged 9% in the years before 2008.

Angola’s economy is distinguished by two factors: first, its enormous economic potential; second, its progress in overcoming the protracted civil war that tore through the nation from 1975 to 2002.

Angola became known as the richest nation in Central Africa as a result of its economy’s 11.1% average annual growth between 2000 and 2010. This growth was primarily driven by the country’s non-oil economic sectors.

Kenya — GDP: $114.9 billion

Kenya is the seventh richest country in Africa and the only country in East Africa with a lower-middle-income status, according to the World Bank.

A market economy with a few state-owned businesses is maintained by the government along with an open system of foreign economic transactions.

Agribusiness, forestry, mining, manufacturing, energy, tourism, and financial services make up the bulk of the economy. After South Africa and Nigeria, Kenya is the richest country in sub-Saharan Africa in terms of GDP.

Ethiopia —GDP: $111.2 billion

Ethiopia is the eighth-richest nation in Africa with one of the fastest GDP growth rates in the world, at over 10% annually. A significant portion of the population has been able to escape extreme poverty because of the country’s exceptional GDP growth; this percentage dropped from 55.5% in 1999 to 26.7% in 2016 (threshold: $1.90).

Ethiopia’s agricultural economy has been plagued by droughts, food shortages, and political unrest, but the nation is quickly transitioning to an industrial and export-based economy.

Ghana— GDP: $77.59 billion

The ninth-richest nation in Africa is Ghana, a major oil and gas producer with the sixth-largest reserves of crude oil in Africa and the twenty-fifth-largest in the world.

Ghana has meat, fish, and poultry, but agriculture—particularly the production of cocoa and gold—contributes to approximately half of the nation’s GDP.

In addition, Ghana produces shea, which is used to make coffee and edible fat, lumber, palm oil, coconuts, and other products made from the palm tree.

The addition of new agricultural exports including pineapples, cashew nuts, black pepper, yams, cassava, and bananas to Ghana’s traditional ones has further consolidated its position as one of the richest countries in Africa.

Côte d’Ivoire—GDP:$ 70.04 billion

For the area, Ivory Coast has a high per capita income ($1,662 in 2017), and it is an important transit country for commerce with other nearby landlocked nations. The nation has the largest economy in the West African Economic and Monetary Union, accounting for 40% of the overall GDP of the monetary union.

Following South Africa, Nigeria, and Angola as the continent’s top exporters of general merchandise is Ivory Coast.

The nation exports more cocoa beans than any other nation in the globe. Farmers of cocoa beans were expected to produce 630,000 metric tonnes of cocoa in 2013 and earned $2.53 billion from cocoa exports in 2009. Additionally, 100,000 rubber farmers in Ivory Coast made $105 million in revenue in 2012.

Tanzania — GDP: $67.84 billion

Africa’s richest nation is Tanzania, which ranks eighth. Around 80% of the labour force works in agriculture, which also generates about 85% of exports and contributes to a quarter of the nation’s GDP.

Tanzania is one of the wealthiest nations in Africa, yet despite this, the country’s economy is like that of a developing country, with a minimal and uncompetitive industrial base. A significant source of foreign currency, though, is tourism. 

Tanzania has a variety of mineral resources, including natural gas, offshore natural gas deposits, tanzanite, uranium, iron, coal, nickel, and gold.

Angola —GDP: $67.4 billion

Decades of domestic conflict and political unrest, including the country’s fight for independence from Portugal from 1961 to 1975, have had a considerable negative influence on its economy. 

The oil industry has a significant role in Angola’s economy. One of the key causes of the nation’s economy’s underperformance is corruption.

Democratic Republic of the Congo—GDP:$55.35 billion

The Democratic Republic of the Congo (DRC) is regarded as one of the world’s resource-richest nations; its undeveloped raw material endowments are thought to be worth more than US$24 trillion. More than 30% of the world’s diamond reserves, 70% of the coltan reserves, a third of the cobalt reserves, and 10% of the copper reserves are in the DRC.

On the Corruption Perceptions Index, the DRC is likewise among the twenty nations with the worst rankings

Tunisia—GDP:$ 46.69 billion

With a score of 41, Tunisia received the lowest corruption rating among North African nations in 2016. Tunisia’s economy is diversified, ranging from agriculture, mining, manufacturing, and petroleum products to tourism, which generated 370,000 employment and 7% of the country’s overall GDP in 2009. Its nominal economy in 2008 was $41 billion and its PPP economy was $82 billion.

Cameroon—GDP: $45.34 billion

In 2017, the estimated GDP (Purchasing power parity) of Cameroon per person was USD 3,700. Dutch, French, Chinese, Belgian, Italian, Algerian, and Malaysian markets are significant export destinations.

The economy of Cameroon has performed well over the past ten years, with GDP increasing at an average rate of 4% annually.

Local farmers primarily practice subsistence farming with basic equipment. They sell the extra produce, and some of them keep special fields for business usage. Particularly, urban centres depend on peasant agriculture for their food supply. They also do fishing, mining, and exporting timber to neighbouring countries.

Libya—GDP:$43.82 billion

Over half of the country’s GDP and 97% of its exports come from the oil industry, which is the main source of money for Libya. Libya is a significant producer of light, sweet crude and has the greatest proven oil reserves in Africa. Oil output made up 54% of GDP in 2010 when oil prices were about $80 per barrel. 

The other natural resources are gypsum and natural gas in addition to petroleum.

Uganda—GDP: $40.53 billion

The nation’s crude oil and natural gas assets are mostly unexplored. With coffee as its primary export in 1986, agriculture made up 56% of the economy. Today, the services sector has surpassed agriculture, accounting for 52% of GDP in 2007.

A sizable community of Ugandans live mostly in the United States and the United Kingdom. By sending money home and making other investments (particularly in real estate), this diaspora has significantly aided Uganda’s economic development. The World Bank estimates that Uganda received US$1.099 billion in remittances from abroad in 2016, coming in second place to Kenya (US$1.574 billion) in the East African Community.

Sudan —GDP:$34.33 billion

Even though the nation was subject to international sanctions, Sudan’s economy was ranked as having one of the fastest growth in the world in 2010.

Approximately 75% of Sudan’s oilfields were in South Sudan before its secession, which caused Sudan to enter a phase of stagflation. GDP growth slowed to 3.4% in 2014, and 3.1% in 2015, and was projected to recover slowly to 3.7% in 2016, while inflation remained as high as 21.8% as of 2015. In 2018, Sudan’s GDP dropped from US$123.053 billion to US$40.852 billion.

Before South Sudan’s independence in July 2011, oil was the principal export from Sudan, and production surged in the late 2000s. The Sudanese economy was expanding in 2007, growing at a rate of nearly 9% because of surging oil earnings.

Senegal—GDP:$27.63 billion

Despite having a wealth of natural resources, including iron, zircon, gas, gold, phosphates, and multiple oil discoveries recently, Senegal’s economy is mostly driven by mining, construction, tourism, fishing, and agriculture. They are the main sources of employment in rural areas. Fish, phosphates, groundnuts, tourism, and services are where Senegal gets the majority of its foreign exchange.

Another well-developed tourism sector in Africa is found in Senegal. Foreign aid is essential to Senegal’s economy. The World Trade Organisation considers it a member.

Zambia—GDP: $22.15 billion

Zambia currently exports on average between $7.5 billion and $8 billion each year. In 2018, exports amounted to $9.1 billion. Approximately 54.4% of Zambians lived below the official national poverty threshold in 2015, down from 60.5% in 2010. About 76.6% of people lived in poverty in rural areas, compared to 23.4% in urban areas. 

International resource corporations have lately been granted permits by the Zambian government to prospect for minerals like nickel, tin, copper, and uranium.

Zambia’s government views tourism as a vehicle for economic and rural development since it raises living standards, generates cash, creates jobs, and encourages wildlife conservation.

Conclusion

Natural resources found in Africa include arable land, water, oil, natural gas, minerals, forests, and wildlife. The world’s natural resources, both renewable and non-renewable, are concentrated in large part on this continent.

Sales, commodities, services, and manufacturing have all increased recently, contributing to the rise as seen through these 20 richest nations in Africa.