According to the 2026 African Industrial Performance Index (AIPI) released by the African Development Bank (AfDB), Morocco has overtaken South Africa to claim the top position in continental industrial performance. Algeria ranks fifth, maintaining a strong presence in the top five.
The index evaluates countries based on manufacturing output, industrial diversification, export competitiveness, and technological readiness. Morocco's rise is attributed to its automotive and aerospace sectors, while South Africa's decline reflects ongoing structural challenges.
Algeria's fifth-place ranking highlights its industrial strengths, particularly in petrochemicals and steel, though experts note the need for further diversification beyond hydrocarbons. Other top performers include Egypt and Tunisia.
The report underscores shifting industrial dynamics in Africa, with North African nations gaining ground. The AfDB emphasizes the importance of policy reforms and investment in technology to sustain growth.