The European Union has announced a €11.5 billion ($13 billion) investment package for South Africa, targeting renewable energy, infrastructure, digital connectivity, and pharmaceutical production. The initiative aims to accelerate South Africa’s shift from coal to renewables while promoting inclusive, sustainable growth.

Roughly €8.7 billion ($9.5 billion) of the package will be delivered through blended financing, leveraging both public and private capital to fund new facilities for critical mineral refining and green hydrogen production in South Africa, the continent’s most industrialised economy.

The package also allocates €1.2 billion for reskilling workers in carbon-intensive industries and €1.3 billion for transport and digital connectivity. Additional funding supports agriculture modernisation and local pharmaceutical manufacturing.