Top 10 Countries with the Highest Savings Rates in Africa in 2025 | USAEMALL.com

In Summary

• According to data from World Bank, Algeria leads Africa with a gross savings rate of 41.2% of GDP, followed by Botswana (34.5%), Angola (30.2%), and Morocco (27.5%).
• The African Development Bank’s 2025 African Economic Outlook reports that Africa could mobilize up to $1.43 trillion in additional domestic resources annually through enhanced savings, tax revenue, and non-tax measures.
• Countries with high savings rates, like South Africa, are implementing significant regulatory reforms in 2025, including full Basel III compliance and new deposit insurance schemes, to strengthen financial stability and build trust in domestic savings institutions.

Deep Dive!!

As Africa continues to chart its economic course amid mounting global uncertainties, the importance of household, corporate, and governmental savings cannot be overstated. According to World Bank data via TheGlobalEconomy, as of 2023, the latest complete data available, Algeria leads the continent with a gross savings rate of 41.2% of GDP, followed by Botswana at 34.5%, Angola at 30.2%, and Morocco at 27.5%. While official 2025 figures are not yet published, these countries are widely expected to remain among the top savers, given their resource-driven economies and fiscal policies encouraging domestic capital retention.

Experts and development institutions underscore that elevated savings ratios are vital for reducing dependency on foreign borrowing and cushioning against external shocks, especially at a time when Africa’s external public debt has surpassed $1 trillion, and debt servicing has nearly tripled since 2010. “The structural challenge is a shortage of local savings,” notes Charlie Robertson of FIM Partners, highlighting why mobilizing domestic resources is key to financial stability. The African Development Bank’s 2025 African Economic Outlook echoes this urgency: with sound policies, the continent could mobilize an additional $1.43 trillion in domestic resources, including savings, tax, and non‑tax revenues.

Policy shifts such as improved regulation and financial market deepening are already shaping outcomes in high‑saving economies. In South Africa, for example, the central bank is tightening prudential regulations, including full implementation of Basel III standards and deploying deposit insurance schemes, as of mid‑2025, to elevate confidence and financial resilience. Such reforms bolster the banking sector’s ability to intermediate savings into investment, helping ensure that high savings rates translate into sustainable development rather than capital flight.

The ripple effects of strong savings rates transcend national borders: they underpin regional financial stability and fuel intra-African investment. The Reuters analysis points to Africa’s underdeveloped local capital markets and shallow liquidity, despite efforts in Ethiopia and Kenya to launch new exchanges and domestic bond markets. As these high‑saving countries channel resources into growing domestic markets, they not only mitigate exposure to external volatility but also aggregate capital pools that could be deployed across the continent in infrastructure, green energy, and industrialization, laying a foundation for resilient, homegrown growth in 2025 and beyond.

10. Rwanda

In 2023, Rwanda’s gross domestic savings stood at 12.53% of GDP, securing its position among Africa’s top savers. While relatively modest compared to global averages, this figure reflects meaningful progress, particularly in light of Rwanda’s aggressive push toward financial inclusion. According to the FinScope Survey 2024, formal financial inclusion surged to 92% of adults, with mobile money usage reaching 77%, up sharply from 60% in 2020. These statistics underscore a growing base of digitally empowered savers across the country.

Rwanda has anchored its financial strategy within a broader development roadmap. The 2024–2029 FinTech Strategy, launched by the government alongside the National Bank of Rwanda, aims to propel the country into a regional fintech hub. Its goals include boosting fintech adoption to 80%, creating 7,500 new jobs, and attracting $200 million in investment, all aimed at deepening digital financial engagement. This policy focus is already showing results, reinforcing savings behavior by making secure, accessible financial tools widely available.

The World Bank’s 2024 Rwanda Economic Update highlights the importance of amplifying domestic savings to fuel private sector investment, essential for structural transformation and reducing vulnerability to external shocks. As World Bank Economist Peace Aimee Niyibizi noted, “Notable strides in enhancing savings mobilization… introduction of innovative long-term savings programs” point toward the potential for expanded investment and sustained economic growth.

For Rwanda, the combination of strong financial inclusion, policy-driven fintech expansion, and savings mobilization enhances economic resilience and private-sector-led growth. In a region where many nations struggle with low domestic savings structures, Rwanda’s incremental progress offers a replicable model: digitize access, embed savings mechanisms, and align with national development goals like Vision 2050. Its experience may serve as inspiration for other African economies seeking to unleash the growth potential of savings-fueled investment in 2025 and beyond.

9. South Africa

South Africa’s gross domestic savings rate, estimated at 13.3% of GDP in 2024, positions the nation as the ninth-highest saver in Africa, according to TheGlobalEconomy.com, While this figure slightly varies in quarterly measurements, hovering around 13.7% in late 2024, it reflects a downward trend from historical averages. Indeed, the 1960–2024 average stands at 20.5%, with prior peaks exceeding 30% in the 1970s. These patterns underscore persistent underperformance in mobilizing domestic capital in recent decades.

Experts warn that such savings levels are insufficient to support long-term, resilient growth. A recent academic study finds that a 1% increase in corporate savings can yield a 3.12% rise in economic growth, spotlighting the powerful multiplier effect of reinvested profits—but this holds only when capital markets and institutions are sufficiently robust. South Africa’s low household and public savings further dilute this effect, suggesting that raising private sector capital retention could significantly enhance the economy’s productive capacity.

The fiscal and regulatory landscape also weighs heavily on savings behavior. South Africa’s 2025 budget-making process, marked by intense resistance to a proposed VAT increase and ongoing debt servicing pressures, highlighted the limited flexibility to spur savings through policy interventions. Compounding this, OECD projections point to persistent public debt near 80% of GDP and stagnating reform momentum, both of which constrain consumption choices and crowd out private investment. Against this backdrop, traditional savings structures, such as stokvels, the community-based rotating savings schemes used by around half of South African adults, remain vital yet underregulated channels of domestic capital accumulation.

From a continental perspective, South Africa’s modest savings rate reflects broader systemic challenges. Across Sub‑Saharan Africa, average national savings sit at roughly 17% of GDP, well below the global average of 36%, limiting the region’s ability to finance development internally. African Development Bank president Akinwumi Adesina and others advocate deepening local capital markets to tap into these latent savings pools. For South Africa, improving domestic saving rates, even marginally, could not only bolster its macroeconomic stability and resilience but also pave the way for greater regional financial integration and reduced reliance on volatile international borrowing.

8. Ghana

As of 2025, Ghana’s gross domestic savings rate stands at 14.07% of GDP, positioning it as the eighth-highest saver in Africa. This marks a decline from 17.83% in 2022, reflecting a broader trend of fluctuating savings rates over the past few decades, with historical highs reaching 22.87% in 2004. Despite this decline, the current rate remains above the country’s long-term average of 12.71%, indicating a relatively stable savings environment amidst economic challenges.

Several factors contribute to Ghana’s current savings rate. The nation’s economic policies, including fiscal adjustments and debt restructuring efforts, have played a role in shaping the savings landscape. In June 2025, Ghana’s parliament approved a $2.8 billion debt relief agreement with 25 creditor nations, including major economies like China, France, the United States, Germany, and the United Kingdom. This move is part of the country’s broader efforts to manage its severe economic crisis and is essential to the continuation of an ongoing three-year, $3 billion bailout program from the International Monetary Fund (IMF) initiated in May 2023. The debt restructuring agreement provides relief by rescheduling debt service payments due from late 2022 through 2026, with repayments deferred until between 2039 and 2043, significantly easing the government’s short-term financial burden.

In addition to fiscal measures, Ghana’s economic growth prospects are influenced by sectoral developments. Fitch Solutions has maintained Ghana’s 2025 GDP growth forecast at 4.2%, driven by rising gold prices and lower energy costs, which are expected to boost export earnings and current account surpluses. However, challenges such as plateauing oil production and tight credit conditions may temper growth. The IMF also emphasizes the importance of adhering to the $3 billion Extended Credit Facility program to restore macroeconomic stability and stimulate private sector investment across various sectors.

Looking ahead, Ghana’s ability to enhance its savings rate will depend on continued economic reforms, investment in key sectors, and effective management of fiscal policies. Strengthening domestic savings is crucial for reducing reliance on external debt and fostering sustainable economic development. By addressing structural challenges and capitalizing on emerging opportunities, Ghana can work towards achieving a more robust and resilient economy in the coming years.

7. Mauritius

As of 2025, Mauritius records a gross domestic savings rate of approximately 16.68% of GDP, earning it the seventh spot on the continent according to TheGlobalEconomy.com. This strong performance reflects the country’s unique economic trajectory, from a primarily agricultural economy at independence to a highly diversified, services‑driven modern state. Tourism, financial services, ICT, and fintech are among the pillars of this transition, with financial services alone directly contributing around 13–14% of GDP, and up to a quarter when indirect and induced effects are considered. This robust economic architecture underpins consistent savings and investment capacity.

Mauritius’s institutional strength plays a critical role in nurturing this savings rate. The launch of a Regulatory Sandbox Authorisation (RSA) by the Bank of Mauritius in May 2024 underscores the commitment to fintech innovation in a controlled, secure environment. Moreover, the National Budget 2025–2026 outlines sweeping reforms, such as enhanced central bank independence, e‑licensing, bullion banking licences, and incentives for AI and fintech research, that aim to enhance financial stability, broaden product offerings, and cement Mauritius’s status as a premier International Financial Centre (IFC). These regulatory frameworks not only drive investor confidence but also channel local resources into sustainable growth.

Expert voices affirm Mauritius’s strategic positioning. A Forbes Africa special report highlights how the country’s “financial sector’s capacity to adapt and innovate is central to Mauritius’ success as an International Financial Centre”. Furthermore, the IMF’s Article IV consultation for 2025 recognizes Mauritius’s resilience, boosted by a solid 4.7% GDP growth in 2024, contained inflation, ample foreign reserves covering nearly a year of imports, and projected steady growth despite external headwinds. As Minister of Financial Services Dr Jyoti Jeetun notes, embracing digitalization and sustainability continues to render Mauritius “a beacon of resilience and opportunity for investors”.

For the wider African region, Mauritius offers a blueprint: with savings at 16.68%, it surpasses many peers and signals the benefits of institutional robustness, economic diversification, and forward‑looking regulation. Elevated consultation capacity enhances fiscal and financial resilience, reducing reliance on external debt and inflows. By combining innovation (e.g., fintech, green finance) with strong governance, Mauritius demonstrates how savings can be mobilized into productive investment, offering a promising model for other African economies seeking to strengthen domestic capital formation and facilitate regional economic integration.

6. Ethiopia

As of 2025, Ethiopia’s gross savings rate stands at 19.18% of GDP, positioning it as the sixth-highest saver in Africa. This marks a slight decline from 21.55% in 2022, reflecting the nation’s evolving economic landscape. Historically, Ethiopia has exhibited a high savings propensity, with an average rate of 28.42% from 2011 to 2023, peaking at 33.16% in 2018. The current rate, while lower, remains robust compared to many African nations, underscoring the country’s strong domestic capital formation.

Central to Ethiopia’s savings performance is its aggressive infrastructure development strategy. The Grand Ethiopian Renaissance Dam (GERD), inaugurated in September 2025, stands as Africa’s largest hydroelectric facility, with a capacity of 5,150 MW. Funded predominantly through domestic resources, the GERD symbolizes Ethiopia’s commitment to energy self-sufficiency and regional power exportation. Despite political tensions with downstream countries, the dam has become a unifying national symbol and is expected to significantly boost industrial activity and economic growth.

In parallel, Ethiopia’s Urban Institutional and Infrastructure Development Program (UIIDP) has been instrumental in fostering savings through job creation and improved urban planning. Between 2018 and 2024, the program generated over 1.15 million jobs across 117 cities, enhancing living conditions for more than 6.6 million people. By investing in infrastructure and strengthening local governance, the UIIDP has not only improved urban functionality but also stimulated domestic savings by increasing disposable incomes and fostering a conducive environment for investment.

However, challenges persist. Despite these advancements, Ethiopia faces funding constraints as its economy grows. The reliance on domestic savings to finance large-scale projects, while commendable, may limit the capacity to undertake additional investments without external financing. Furthermore, the need for continued reforms in financial systems and governance structures is critical to ensure that savings are effectively mobilized and allocated towards productive investments. Addressing these challenges will be pivotal in sustaining Ethiopia’s economic trajectory and enhancing its position within the African continent.

5. Cape Verde

As of 2025, Cape Verde boasts a gross savings rate of 20.80% of GDP, positioning it fifth among African nations. This marks a slight decline from 21.96% in 2022 but remains above the global average of 23.44%. Historically, Cape Verde’s savings rate has fluctuated, with a peak of 37.32% in 2008 and a low of 17.55% in 2020. The current rate underscores the nation’s resilience and prudent fiscal management, especially crucial for a small island economy heavily reliant on imports.

Central to Cape Verde’s robust savings performance is its strategic focus on economic diversification and resilience. The World Bank’s 2025 Economic Update highlights that inflation dropped to 1% in 2024, the lowest in recent years, contributing to a reduction in poverty levels to 14.4% ($3.65 a day 2017PPP line). Public investment execution increased, debt levels continued to decline, and the current account posted a surplus for the first time in four years. These achievements reflect the government’s commitment to maintaining fiscal discipline while investing in high-impact projects.

However, challenges persist. Despite these advancements, Cape Verde faces funding constraints as its economy grows. The reliance on domestic savings to finance large-scale projects, while commendable, may limit the capacity to undertake additional investments without external financing. Furthermore, the need for continued reforms in financial systems and governance structures is critical to ensure that savings are effectively mobilized and allocated towards productive investments. Addressing these challenges will be pivotal in sustaining Cape Verde’s economic trajectory and enhancing its position within the African continent.

For the wider African region, Cape Verde offers a blueprint: with savings at 20.80%, it surpasses many peers and signals the benefits of institutional robustness, economic diversification, and forward-looking regulation. Elevated consultation capacity enhances fiscal and financial resilience, reducing reliance on external debt and inflows. By combining innovation (e.g., fintech, green finance) with strong governance, Cape Verde demonstrates how savings can be mobilized into productive investment, offering a promising model for other African economies seeking to strengthen domestic capital formation and facilitate regional economic integration.

4. Morocco

In 2023/2024, Morocco achieved a gross savings rate of 27.54% of GDP, placing it fourth among African nations and third in the MENA region. This figure represents a slight increase from 26.74% in 2022, indicating a consistent upward trend in domestic savings. The World Bank attributes this growth to Morocco’s diversified economic structure, which includes robust sectors such as tourism, agriculture, and manufacturing.

The country’s diversified economic base has been instrumental in fostering domestic savings. Tourism, for instance, remains a significant contributor to Morocco’s GDP, attracting millions of visitors annually. Agriculture, particularly the production of cereals and citrus fruits, continues to be a cornerstone of the economy, providing employment and export revenues. Manufacturing, especially in textiles and electronics, has seen steady growth, supported by government incentives and foreign direct investment. These sectors not only contribute to GDP but also generate employment and income, which in turn bolster savings rates.

Financial reforms have also played a pivotal role in enhancing savings behavior. The Bank Al-Maghrib, Morocco’s central bank, has maintained a policy rate of 2.25% as of July 2025, encouraging savings by offering competitive returns. Additionally, the government’s efforts to improve financial inclusion, such as expanding access to banking services in rural areas, have enabled more Moroccans to participate in formal savings mechanisms. These initiatives have contributed to a more robust savings culture across the country.

The implications of Morocco’s high savings rate extend beyond its borders. By mobilizing domestic resources, Morocco reduces its dependence on external debt, enhancing its economic sovereignty. This approach serves as a model for other African nations seeking to strengthen their financial systems and achieve sustainable economic growth. Furthermore, Morocco’s experience underscores the importance of economic diversification and sound financial policies in fostering a culture of savings and investment.

3. Angola

As of 2025, Angola maintains a robust gross savings rate of 30.18% of GDP, positioning it third among African nations. This figure reflects a slight increase from 29.92% in 2024, indicating a steady upward trajectory in domestic savings. Historically, Angola’s savings rate has fluctuated, with a peak of 43.45% in 2006 and a low of 23.10% in 2017, averaging 32.40% over the past two decades.

The primary driver of Angola’s high savings rate is its substantial oil sector, which has historically contributed significantly to national revenue. In recent developments, Azule Energy, a joint venture between Eni and BP, announced plans to invest $5 billion in Angola over the next five years, focusing on both new and existing oil and gas projects. This investment aims to sustain oil production above 1 million barrels per day, ensuring continued inflows that bolster national savings.

However, the International Monetary Fund (IMF) has revised Angola’s 2025 economic growth forecast down to 2.1% from 2.4%, citing reduced oil exports and weak oil production in the first half of the year. The IMF also highlighted growing risks to Angola’s debt repayment capacity, advising the country to limit borrowing, rationalize expenditures, and adopt a more flexible foreign exchange policy.

The implications of Angola’s high savings rate extend beyond its borders. By mobilizing domestic resources, Angola reduces its dependence on external debt, enhancing its economic sovereignty. This approach serves as a model for other African nations seeking to strengthen their financial systems and achieve sustainable economic growth. Furthermore, Angola’s experience underscores the importance of economic diversification and sound financial policies in fostering a culture of savings and investment.

2. Botswana

By 2023/2024, Botswana’s gross savings rate stood at 34.48% of GDP, securing its status as the second-highest saver on the African continent. This is consistent with the country’s long-term performance, since 1975, Botswana has maintained an average savings rate of approximately 33.9%, fluctuating between lows of about 20% and highs just under 50%. This sustained strength reflects prudent financial stewardship, deeply rooted in effective sovereign wealth management and disciplined fiscal policy.

Central to Botswana’s exceptional savings rate is its historical reliance on the diamond sector. Diamonds have contributed to around 30–80% of Botswana’s export revenue and approximately 25% of GDP. However, 2024 and into 2025, the industry has faced serious headwinds. Debswana, Botswana’s joint venture with De Beers, slashed diamond output by 27%, from 24.5 to 17.9 million carats, and plans further cuts to 15 million carats to cope with slumping demand and rising synthetic competition. This contraction triggered a 3% economic downturn in 2024, with further contraction expected into 2025, underscoring the inherent vulnerabilities in Botswana’s heavy dependence on diamonds.

Botswana has responded with forward-looking reforms to safeguard its savings and economic resilience. In February 2025, it secured a landmark 10-year diamond sales agreement with De Beers, increasing the government’s share of diamond revenues to 30% in the first five years, rising to 40% thereafter, and an option to extend to equal partnership, strengthening sovereign income stability. Simultaneously, fiscal consolidation efforts are underway: the budget deficit is projected to narrow significantly—from 6.75% to around 3.6% in the 2025/26 financial year, while public debt remains modest at 22.1% of GDP, keeping Botswana fiscally resilient. These measures are strategically complemented by diversification initiatives, encouraging growth in tourism, agriculture, and financial services to reduce over-dependence on the diamond sector. As Walter Matekane of Botswana’s Finance Ministry explains: “We expect the economy to recover to 3‑4 percent growth in 2025, benefiting from base effects, stronger diamond export markets, and continued non‑mining sector expansion”.

Botswana’s experience bears larger lessons for the African continent. Maintaining a high national savings rate has enabled the country to smooth consumption, sustain strategic investments, and establish the Pula Sovereign Wealth Fund, now managing over $4 billion in assets, as a buffer for future uncertainties. Yet, the 2025 downturn vividly illustrates the risks of resource-centric savings, and the urgency of structural diversification. For African peers, Botswana’s policy mix offers a blueprint: resilient sovereign savings combined with managed diversification and sound fiscal governance bolster economic stability. Scaling such a model across other resource-rich African states could foster stronger domestic investment capacity while reducing vulnerability to global commodity cycles.

1. Algeria

Algeria stands at the pinnacle of African savings rates, boasting a remarkable gross savings rate of 41.23% of GDP in 2023/2024, according to TheGlobalEconomy.com. This exceptional figure places Algeria firmly as the continent’s top saver, reflecting a long-standing trend influenced primarily by the country’s substantial hydrocarbon wealth. CEIC Data shows that over the past few decades, Algeria’s savings rate has averaged close to 38–39%, underscoring a consistent capacity to set aside large portions of its national income. This robust savings behavior is intricately linked to Algeria’s oil and gas exports, which have historically provided significant fiscal revenues, allowing the government to build sizable domestic reserves and sovereign wealth funds.

Economically, Algeria’s elevated savings rate serves as a critical stabilizer, offering a buffer against the well-documented volatility of global hydrocarbon prices. The International Monetary Fund (IMF) has praised Algeria’s fiscal management, noting that these reserves grant the country considerable fiscal flexibility to absorb external shocks and invest in long-term development. In a 2025 report, IMF representative Fatima Zohra commented, “Algeria’s prudent savings strategy provides the government with the financial muscle to maintain essential public services and infrastructure projects even when oil revenues fluctuate.” This fiscal resilience is crucial not only for Algeria’s economic stability but also for fostering investor confidence and sustainable growth.

The government’s strategic use of these savings extends beyond just stabilization. Algeria has embarked on diversification policies aimed at reducing its overreliance on hydrocarbons by investing in sectors such as renewable energy, agriculture, and manufacturing. According to the Ministry of Finance’s 2025 annual economic review, a significant portion of the sovereign reserves is being channeled into supporting emerging industries and technological innovation. These initiatives aim to broaden the economic base, create jobs, and ultimately sustain the high savings rate by generating new income streams. The careful balance of saving and investing has been pivotal in ensuring that Algeria’s economic model remains robust in the face of global economic uncertainties.

Algeria’s approach to managing its wealth and savings offers valuable lessons for other African countries rich in natural resources. By accumulating a high savings rate and directing these funds prudently, Algeria not only shields itself from commodity price shocks but also builds a platform for sustainable development that can benefit the wider continent. As Professor Abdelkader Hammadi of the University of Algiers highlights, “Algeria’s fiscal discipline and strategic reinvestment of savings demonstrate a model of resource governance that can inspire other nations looking to translate natural wealth into long-term prosperity.” The ripple effects of Algeria’s financial stability extend beyond its borders, contributing to regional economic resilience and setting a benchmark for responsible resource management in Africa.