Africa’s solar sector is undergoing a fundamental shift. While the continent still imports the vast majority of its photovoltaic panels from China, a new wave of investment in local assembly, thin-film manufacturing, and off-grid solar solutions is quietly repositioning Africa from passive importer to active player in the global solar value chain.
New data from the African Energy Commission (AFREC) shows that the continent’s solar capacity additions grew by an estimated 34 percent in 2025, with countries like South Africa, Kenya, Nigeria, and Tanzania leading the charge. Simultaneously, Africa’s imports of Chinese solar panels surged by 60 percent year-on-year — a paradox that reflects both the accelerating pace of installation and the limits of local production capacity.
The import surge: challenge and opportunity
The dramatic increase in Chinese solar panel imports tells a story of urgent demand outpacing local supply. African governments, utilities, and independent power producers are scrambling to install solar capacity as part of their net-zero commitments and to address chronic electricity deficits. Chinese manufacturers, who control roughly 80 percent of global solar panel production, have been the primary beneficiaries of this demand.
But the import surge is not without consequences. Panel imports represent a substantial outflow of capital, and Africa’s solar future remains partly dependent on decisions made in Beijing’s manufacturing hubs.
Afreximbank and the financing of solar industrialisation
Afreximbank has positioned itself at the centre of Africa’s solar industrial ambitions. At the Egypt Energy Show (EGYPES 2026) in Cairo, Afreximbank officials outlined a comprehensive financing architecture that supports the continent’s energy transition from project preparation through to large-scale manufacturing investment.
The bank’s approach has two tracks. First, it provides credit facilities and risk-sharing instruments that enable African governments and utilities to access affordable financing for solar installations. Second, it channels capital into solar manufacturing ventures — particularly in North Africa and East Africa, where existing industrial bases and proximity to European and Middle Eastern markets create competitive advantages.
The off-grid revolution: a homegrown success story
One of the most encouraging developments in Africa’s solar landscape is the rapid growth of off-grid solar solutions, particularly in East and West Africa. Companies like M-KOPA, Azuri, and d.light have built thriving businesses supplying solar home systems to millions of households that lie outside national grid coverage.
These companies are not simply importing Chinese panels and reselling them — they are developing pay-as-you-go financing models, building local service networks, and creating African jobs in installation, maintenance, and customer service. The off-grid solar sector in Africa now employs an estimated 200,000 people across the continent, most of them in skilled technical and service roles.
Challenges on the path to manufacturing leadership
The road to African solar manufacturing leadership is not without significant obstacles. Electricity costs remain high across most of the continent, making local production expensive relative to Chinese competitors who benefit from economies of scale, government subsidies, and integrated supply chains.
Tariff structures are another barrier. Under the African Continental Free Trade Area (AfCFTA), intra-African trade in solar components should eventually become cheaper, but the implementation of tariff reductions remains uneven and contested.
What the next three years could look like
The African Energy Outlook 2026, produced by the African Energy Commission, projects that under a medium-growth scenario, the continent could add between 31 and 33 gigawatts of new solar capacity between 2026 and 2029. This growth will require an estimated 80 billion dollars in investment across generation, transmission, and distribution.
The manufacturing dimension is gaining attention. Rwanda, Kenya, and Ethiopia have all announced plans to develop solar assembly facilities, building on industrial park infrastructure already in place for other manufacturing sectors.
Africa’s solar moment is no longer a projection — it is a present reality. Millions of African homes and businesses now run on solar power that would have been unimaginable twenty years ago. The next frontier — adding manufacturing depth to installation breadth — is where the continent’s energy ambitions will be tested. Whether Africa can transition from assembling imported panels to producing its own will determine whether the continent captures a lasting share of the global clean energy economy.