A look into the fastest growing sectors in Africa’s $2.8 trillion economy

Africa has always been a continent of promise with immense potential for growth across diverse sectors, which has lured investors to the continent since the days of colonialism. This is despite the obvious challenges that abound on the continent from weak governance institutions, poor infrastructure, insecurity, poverty and others. 

Investors within and outside Africa are always on the lookout for the sectors with the highest growth potential in the future to guarantee returns on their investment.

The continent’s huge and growing population continues to constitute the greatest potential for investors and corporations across the world. According to reputable estimates, one in four persons on earth in 2050 will be African, and 40% of the world’s labour force will come from the continent. 

A recent report by the Financial Times of London on the fastest-growing African companies in 2025 gives us insights into the sectors and industries experiencing the unbelievable growth on the continent.

While the report is not exhaustive on the different sectors of Africa’s $2.8 trillion economy, it tells the average entrepreneur where the most growth is occurring on the continent. 

This article delves into the industries with the highest presence in the top 130 fastest-growing firms in Africa, according to FT’s report. 

07 – Educational and Social Services/Transport & Logistics/Energy & Utilities

All three industries had companies which appeared five times each on the list. The potential for these industries is immense, considering the deficiency in the current need for their services and the growing population in Africa. 

For example, Africa is one of the youngest continents in the world, with a median age of around 19 years and almost 500 million people under 18 years. This, coupled with hosting 66% of global out-of-school children, means that educational services to train children and young adults will be a thriving industry now and in the future. 

African companies in the educational services industry that made FT’s list include Tunisia’s Gomycode Holding BV, which recorded 765.1% absolute growth in 2023 and 105.3% CAGR. Others are: iLearn Corporate Services Pty Ltd, Ami African Management Initiative, etc. 

For Transport and Logistics, the rise of e-commerce has birthed new startups in the industry, which have created jobs and boosted trade across the continent.

Telecoms, the internet and social media have empowered a new business niche- logi-tech, which helps mainly small businesses in the distribution of goods and services. Companies like Bisedge Ltd and Gozem Pte Ltd recorded over 1,800% growth in absolute terms and over 170% in CAGR by the end of 2025. 

Africa lives with an irony as the continent with the greatest renewable energy potential and has the most people without access to electricity. Almost 700 million people lack access to electricity and this serves and this is the reason for the emergence of solar energy firms across the continent.

Five energy and utilities firms made the top 130 fastest growing companies on the continent, with Nigeria’s Winock Solar topping for energy firms, growing at 160% CAGR in the past year. 

06. Management and Professional Services/Media and Telecommunications-

With the exponential growth in entrepreneurship in Africa, the need for professional services has increased, fuelling the growth of the industry.

In the FT report, six companies offering management and professional services made the list. They include: GSBH Consult Group of South Africa, International Economics Consulting, NAHCO Plc, CFO360 Pty Ltd, AfriGrown Holdings, and Consilient Ltd. 

Much of Africa’s populace still live without access to the internet and other telecommunications services despite the presence of big players like MTN, Glo, Airtel etc. Companies trying to bridge this gap are witnessing significant growth due to continuously rising demand on the continent.

For example, Termii saw absolute growth of 2,817% and 207% CAGR in the past year, while Innovo Network recorded 87% CAGR. Others in the sector are; HOT1027FM Pty Ltd, Axian Telecoms, Société Tunisienne d’Entreprises de Télécommunications SA, and Hero Telecoms Pty Ltd. 

05. Leisure & Entertainment/Travel & Hospitality

Companies in these categories appeared seven times in the FT ranking, putting the leisure and entertainment industry. These are: Tourism and Public Relations Services in Tanzania, and Planet Fitness Holdings in South Africa.

For travel and hospitality, the companies are TPS Eastern Africa in Kenya, Transcorp Hotels in Nigeria, The Tourist Company of Nigeria Plc, Risma SA in Morocco, and South Africa’s Woodford Group. 

It is important to note that the fastest-growing companies in these industries are concentrated in the tourism hotspots of the continent- Kenya, Tanzania and South Africa. 

04. Manufacturing/Electrical Engineering

It has been argued that the industry with the highest potential of truly uplifting the continent is industrial manufacturing, as exemplified by the Asians. Hence, it is encouraging to see companies in this category well represented among Africa’s fastest-growing firms. 

03. Healthcare services/Pharmaceuticals

This is one sector that is in dire need of attention across the continent, but little has been done to salvage it in terms of investment. Africa has the lowest life expectancy in the world, high child and maternal mortality, and the majority of the population lacks access to basic healthcare. 

It is pleasing to note that companies in this industry appeared nine times in the ranking, and a healthcare/pharmaceutical company, Remedial Health Inc was the third fastest growing company in Africa with a CAGR  of 339%.

Other companies represented in the ranking are: Evercare Hospital, Cote d’Ivoire Lapaire glasses, Akdital SA in Morocco, Fidson Healthcare Plc, Africa Healthcare Network, GoodX Enterprises Ltd, etc. 

02. IT & Software–

Any desired growth and development on this continent must integrate Information Technology. Tech startups are springing in places like Nigeria, South Africa, Kenya, Uganda and others, but funding remains an issue as well as internet infrastructure and rife poverty. 

Despite these challenges, 21 IT and software companies made the list of fastest growing companies and placed it as the second most represented sector in the FT ranking. Companies represented include: Tingis Web CX and Technology in Morocco, which posted 136% CAGR, Cyberlinx Security, Chams Holding Company Plc, Zendascape Pty Ltd, etc. 

1. Fintech and Financial Services

The most represented sector in the FT ranking and arguably the booming sector in Africa in the past decade. This is evident in the number of unicorns that have emanated from the sector in Africa, with the latest being Nigeria’s Moniepoint.

The rise of Fintechs in Africa stems from the challenges in payment within the continent, either between different African countries or even within the countries themselves. 

Furthermore, efforts by Central Banks to create a cashless economy also contributed to the rise of financial technology companies who offer services from insurance, securities trading, investment etc. 

In the FT ranking of 2025, there were 23 fintech and financial services companies out of the 130 companies listed. Also, among the top ten fastest-growing companies in Africa, four of them were fintech companies- PalmPay Ltd, Enshandi Financial Services Ltd, PayMeNow Group, and Inkomoko Entrepreneur Development Ltd.