According to a report by the United Nations Conference on Trade and Development (UNCTAD), Foreign Direct Investments (FDI) into Africa were down at $7 billion in 2020, largely due to the covid19 pandemic.
As at the end of 2019, the foreign direct investments were at $47 billion compared to $40 billion at the end of 2020.
Commodity dependent economies like Eritrea, Burundi, and Tanzania were severely affected compared to non-commodity dependent nations like Kenya, Uganda, and Ethiopia according to the UNCTAD report.
Central Africa was the only region in Africa that booked an increase in FDI in 2020 mainly supported by increased inflows to the Republic of Congo.
Global foreign direct investment flows will partially recover in 2021 by roughly 10% to 15%, UNCTAD forecasts.