Op-Ed: Is Africa’s greatest untapped resource hidden in waste?

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Across Africa, waste is no longer just an environmental challenge—it’s a multi-billion-dollar opportunity, according to Alvin Cheeks, the president of the African Diaspora Direct Investment Initiative. Entrepreneurs and investors are turning discarded materials into valuable products, driving job creation and sustainability. However, without improved infrastructure, policy support and investment, much of this potential remains untapped.

• Mr Cheeks warns that scaling circular economy solutions requires more than innovation—it demands strategic investment in waste collection, processing and market access. 

• Rather than relying solely on traditional recycling, he advocates for prioritising industries that can seamlessly integrate waste into their supply chains, such as converting plastic waste into construction materials.

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By Alvin Cheeks 

President, African Diaspora Direct Investment Initiative

(This article was first published on LinkedIn on January 6, 2025)

Across Sub-Saharan Africa, waste is being reimagined as an opportunity for innovation and economic growth. Entrepreneurs, investors and policymakers are leveraging the principles of the circular economy to transform waste into valuable resources, driving job creation, environmental sustainability and financial prosperity. These initiatives are more than business ventures; they are transformative solutions to some of Africa’s most pressing challenges.

The Circular Economy: A Model for Africa’s Future

The circular economy emphasises designing out waste, keeping resources in use and regenerating natural systems. In Africa, where waste management infrastructure often lags behind rapid urbanisation, this approach presents a dual opportunity: mitigating environmental challenges while unlocking economic potential. By investing in circular economy ventures, African countries can leapfrog traditional development models and establish themselves as leaders in sustainable innovation.

Success Stories: Turning Challenges into Opportunities

Across the continent, innovative businesses are redefining what’s possible:

• Plastic Waste to Pavement Blocks in Ghana: Companies are upcycling plastic waste into durable construction materials, reducing environmental pollution and providing affordable housing solutions.

• Biogas from Agricultural Residues in Kenya: Startups are converting farm waste into biogas, offering clean energy solutions while tackling rural energy deficits.

• E-Waste Recycling in Nigeria: By extracting valuable metals from discarded electronics, entrepreneurs are creating new revenue streams while addressing the growing e-waste crisis.

These examples illustrate how Africa’s waste is being turned into wealth, driving both local and global impact.

Why the African Diaspora is Key

The African Diaspora holds a unique position to fuel the growth of circular economy ventures. With access to financial resources, global networks and technical expertise, Diaspora investors can bridge critical gaps in funding and infrastructure. The Diaspora’s contributions can accelerate these innovations, ensuring they scale effectively while delivering measurable social and economic returns.

Circular economy investments align perfectly with the Diaspora’s growing interest in sustainability and impact. These ventures not only yield financial rewards but also create jobs, reduce environmental harm and contribute to Africa’s economic transformation.

The Investment Opportunities You Need to Know

1. Renewable Energy from Waste: Africa’s energy deficit can be addressed through investments in biofuels and biogas systems that repurpose agricultural and organic waste.

2. Recycled Building Materials: There is high demand for affordable, sustainable construction materials in Africa’s booming real estate markets.

3. Upcycled Consumer Goods: Innovations in fashion, furniture and packaging from recycled materials present lucrative opportunities.

4. Tech-Driven Waste Management: From apps that optimise recycling logistics to AI-powered sorting systems, technology is reshaping how waste is managed and monetised.

Overcoming Barriers to Investment

Despite its potential, investing in circular economy projects in Africa comes with challenges such as policy uncertainty, lack of infrastructure and currency risks. However, tools like sovereign risk insurance and partnerships with local experts can mitigate these risks, ensuring that investments are both secure and impactful.

Diaspora investors must adopt a long-term mindset, recognising that the circular economy is not just a trend but a transformative economic model. By aligning investments with sustainable practices, they can help build resilient economies while generating strong returns.

Call to Action

The future of Africa’s economic growth lies in innovative, sustainable ventures. The circular economy is at the forefront of this transformation, offering a path to financial success and meaningful impact. Are you ready to be part of this movement?

If you’re an African American or a member of the African Diaspora interested in collaborating on ventures in Sub-Saharan Africa, connect with us at ADDII Alvin Cheeks today. Together, we can turn Africa’s waste into wealth and create a legacy of prosperity for generations to come.