Europe and Africa Must Rethink Their Relationship

From a Colonial “It’s Complicated” to a Strategic Alliance Focused on Opportunity

By Simon Inauen, Africa Future Initiative, August 2025

The global geopolitical landscape is shifting rapidly. The U.S. retreat from Europe’s security architecture, Europe’s growing dependence on Chinese rare earth minerals, the war in Ukraine, Africa’s slow economic growth, its rapid population increase, and high unemployment rates — all these factors serve as wake-up calls for regions on both sides of the Mediterranean. Europe and Africa must recognize the critical importance of their neighborhood and focus on deepening and strategically leveraging their relationship.

Africa should no longer be seen merely as a raw material supplier or aid recipient but rather as a strategic equal partner — in diversifying supply chains, securing clean energy and critical raw materials, and addressing Europe’s growing skills shortages.

Yet, political will and effective networks between decision-makers on both sides remain insufficient. Africa still views Europe through the prism of colonial history, increasingly turning to new partners—a fact reflected in the neutrality many African countries maintain regarding the Ukraine conflict. Europe, on the other hand, is often stuck in its own stereotypes and paternalistic narratives that paint Africa as a continent defined by crises and conflict. These mutual misperceptions obscure real opportunities and block the strategic realignment urgently needed.

A Demographic Challenge—and an Opportunity

While Europe’s population ages and faces a growing shortage of skilled labor, Africa’s median age is just 19. Germany alone expects a shortfall of about 240,000 workers by 2026. By 2050, Africa is projected to comprise roughly a quarter of the world’s population. The International Monetary Fund estimates that the continent will need to create 18 million new jobs annually by 2035 to maintain social stability.

This demographic reality offers enormous potential—a historic chance to develop a new model for skilled labor migration and training partnerships between Europe and Africa. Instead of closing borders and tightening visa policies, the two continents should boldly explore new cooperative frameworks that enable targeted vocational training for young Africans both for local and international job markets.

Pilot projects with modern vocational training centers in Africa demonstrate feasibility: young people gain language skills and practical training in sectors where Europe desperately needs skilled workers, such as healthcare, crafts, industry, and IT. Successful graduates could systematically be linked to residency permits and jobs within EU countries.

At the same time, a permanent brain drain must be prevented. Skilled workers need viable opportunities at home. Return programs, cross-border educational networks, and digital work models should ensure that knowledge and experience gained abroad flow back to local economies. Only then can migration foster local development rather than undermine it.

Instead of seizing these opportunities, however, we observe the opposite: visa issuance is becoming more restrictive, and African applicants face systematic discrimination—with tangible political consequences. For instance, Namibia recently dramatically raised fees for German tourist visas, signaling growing frustration over unequal treatment. In 2022, about 30 percent of visa applications from Africa were rejected—significantly higher than the global average of 17.5 percent.

Driving Africa’s Industrialization

Africa urgently needs expertise for a profound industrial transformation. The continent aims to evolve from a raw material exporter to a center of industrial production. Raw material exports alone do not generate sufficient jobs or income.

Europe could actively support this transformation and recognize it as a major opportunity: opening new markets, reducing dependency on China, and investing in an economic zone that today has 1.1 billion people and will soon be the most populous continent.

Currently, Europe views opening its markets to African products more as a threat than a strategic investment. New free trade agreements, better market access, and promotion of sustainable regional economic zones could accelerate this transition. Why not establish EU-regulation compatible industrial parks directly in Africa?

Regions with some of the cheapest energy in the world—such as Namibia or Morocco, where electricity costs as low as one euro cent per kilowatt-hour—offer enormous locational advantages. European companies could produce climate-friendly goods there and complete value chains in Europe, preserving high-tech jobs at home. Without such transformation, Europe risks losing entire industries.

This requires integrating European industrial policy with development policy—a connection that remains too weak. Industries settle where energy is cheapest. Energy-intensive sectors like hydrogen and steel production, as well as large data centers—an African “Silicon Valley”—could emerge. Affordable, green energy combined with innovation could unlock tremendous potential.

Reorienting Development Policy

Western development policy must better reflect geopolitical realities. Germany’s coalition agreement names raw material security as one of three core goals, yet suitable instruments are lacking. Investment vehicles, risk capital, and targeted support for African-European industrial cooperation are essential.

Instead of primarily funding traditional infrastructure projects often executed by Chinese firms, investments should be more strategically focused, incorporating European industry. The same applies to renewables: photovoltaic modules and electrolyzers for green hydrogen financed by Europe currently come mostly from China.

A triple win is possible: accelerate the energy transition on both continents, create new jobs and value in Africa, and secure Europe’s raw material supply. Achieving this requires strategically linking technical cooperation, financial cooperation, and the private sector.

For example, in building a hydrogen industry in Africa, financial cooperation provides risk capital and guarantees; technical cooperation trains workers and supports regulatory frameworks; private investors bring know-how, finance pilot projects, and secure off-take agreements in Europe.

Greater EU Coordination

It is crucial that not every EU member pursues its own Africa strategy. Under the umbrella of “Team Europe,” states should coordinate, pool strengths, and integrate private sector expertise—such as the Netherlands’ know-how in ports and shipping.

Meanwhile, China is scaling back its engagement in Africa. While pledging $60 billion for three-year periods in 2015 and 2018, the 2025 package dropped to $30 billion. The new funds are smaller and spread across loans, investments, and development aid. Given China’s slowing growth, the era of ever-increasing financial packages appears to be over.

Digitalization: A New Frontier for African-European Cooperation

From an African perspective, closer ties to Europe in digitalization make strategic sense—not least because the EU offers clear, strict, and globally respected legal frameworks. A joint report by IFC and Google estimates that Africa’s internet economy could contribute nearly $180 billion—or 5.2 percent of projected GDP—by 2025.

Africa’s digital market is growing rapidly. Europe can serve as a role model not only technologically but especially regulatorily. Neither a replication of China’s state-centric model nor the American market-driven approach with its surveillance capitalism excesses seems sustainable. The European model, rooted in fundamental rights, democracy, and freedom, offers a credible alternative and tools for a human-centered digital transformation. But this requires a shared values consensus in the digital realm for cooperation to succeed.

Values and Standards as a Competitive Advantage

Concerns persist that Europe’s ambitious climate goals might hamper African economies. Yet countries rich in renewable energy resources stand to benefit from EU net-zero strategies. Europe’s ESG standards (Environmental, Social, Governance) should be viewed not as trade barriers but as strategic advantages.

Unlike investors from China, Europe builds trust through democratic values, rule of law, and fair negotiations. Crucially, these values must be genuinely practiced. In many African countries, where social inequality and colonial legacies persist, environmental protection, social justice, rule of law, and anti-corruption efforts are high priorities. If implemented earnestly, Europe can become the preferred investment partner.

Europe must be careful not to frame human rights or the green transition as purely “Western” values. Africa is the greenest continent and emits the least CO₂ globally. Criticism from Europe—which remains one of the largest emitters—is often met with resistance. Moreover, green growth is not a solely Western idea: China is the fastest-growing renewable energy market. Although African nations have committed to the Paris Agreement, they see themselves as non-contributors to climate change and thus not responsible for financing its mitigation.

Looking Ahead: Recommendations

African governments should align their products with European standards—such as net-zero requirements and critical raw material partnerships—and coordinate strategies with initiatives like the Global Gateway. Regional cooperation must be strengthened to enforce shared standards and require investors to commit to local value creation.

Media should portray a more balanced image of Africa—as a continent of opportunity, innovation, and dynamism. As long as crises and conflicts dominate narratives, societal support for new policies will remain weak.

Africa does not need guardians but strategic partners. Europe, especially Germany, should leverage its economic and technological strengths to drive local value creation, innovation, and industrial transformation alongside African partners. This demands courage, new tools, and a clear vision for a truly equal partnership in the 21st century.