- The European Union invested €11.5 billion in South Africa to speed up its just energy transition, expand green industries, and create jobs.
- The investment strengthens the South Africa–EU Clean Trade and Investment Partnership, driving collaboration on clean energy, technology transfer, and sustainable industrial growth.
President Cyril Ramaphosa confirmed on Thursday, October 9, that the European Union (EU) invested an additional €11.5 billion to boost South Africa’s green economy.
After bilateral talks with European Commission President Ursula von der Leyen in Brussels, Ramaphosa said the investment package accelerates South Africa’s transition to a low-carbon economy, creates jobs, and strengthens supply chains across Africa. “This investment builds the economy of the future in the South Africa of today,” he said.
He explained that the EU funding supports critical minerals development, e-battery manufacturing, green hydrogen production, renewable energy projects, and vaccine innovation. “This investment accelerates our transition to clean energy while ensuring that no one is left behind,” he added.
The announcement follows the South Africa–EU Summit held in Cape Town in March, where both sides launched the Clean Trade and Investment Partnership to deepen cooperation on clean technology, sustainable energy, and inclusive industrial growth.
South Africa continues to lead Africa’s energy transition, decarbonising its coal-heavy power sector while protecting workers and communities. The country charts a multi-billion-dollar roadmap to expand renewables, modernise infrastructure, and develop green industries through the Just Energy Transition Investment Plan, backed by the EU, Germany, France, the UK, and the US.
The EU remains South Africa’s largest foreign investor, accounting for 41 per cent of total foreign direct investment. More than 2,000 EU companies operate in South Africa, supporting over half a million jobs.
Ramaphosa said the new investment reinforces the South Africa–EU partnership and positions Africa as a frontier for clean global production.
He also welcomed the EU’s support for South Africa’s upcoming G20 Presidency, focusing on solidarity, sustainability, and global governance reform. Von der Leyen will attend the G20 Leaders’ Summit in Johannesburg next month.