Huge investments in the UAE worth $110 billion with a focus on renewable energy in Africa.
In a move that strengthens its position As a major investor in the African continent, UAE companies have announced investment plans worth $110 billion, of which $72 billion is earmarked for renewable energy projects, according to a report published by the Financial Times.
These investments currently make the UAE outperform the investments of major countries such as France, Britain and China in the African continent.
Emirati investments have witnessed a wide spread in North Africa and the Horn of Africa in recent years, focusing on the facilities management and transportation sectors.
Dubai World operates major African ports with plans to expand into new ones, while Abu Dhabi Ports has secured port management contracts in Congo and Angola. In addition, Emirates Airlines serves more than 20 African countries.
New investments are also largely focused on alternative energy projects and the primary resources needed for them, with a clear focus on Central Africa.
These investments include projects in mines in Zambia and Congo, and ports in Angola, complementing US projects such as the rehabilitation of the Lopete Corridor and the more than 1,000-kilometre Angola-Congo railway.
Investing in the environment and reducing emissions
The UAE is expanding through its sovereign funds in African forest exploitation projects to obtain carbon dioxide shares or licenses, which it uses to offset carbon emissions resulting from oil production in the UAE.
The UAE’s strategy in Africa focuses on achieving two main goals: diversifying investments outside the country and in Western countries, as the UAE aims to be a link between Africa, which is rich in resources, and the West, which needs these resources.
In addition to offsetting carbon emissions, the UAE is using its investments in carbon offsets as part of its efforts to reduce the carbon footprint associated with oil production.
