The development of the market economy in Africa is challenged by a persistent reliance on state dirigisme (economic interventionism). Only a small number of nations, most notably the Republic of Mauritius and the Seychelles, have embraced libertarian principles successfully.

Mauritius remains Africa's most "economically free" country, according to the "Economic Freedom of the World 2025" report released on September 25, 2025, by the Fraser Institute, a Canadian think tank. The report assesses the state of economic liberty across 165 countries and territories based on 45 distinct indices grouped into five broad categories.

The categories measured are: Size of Government (including tax rates, public ownership, and government investment); Legal System and Property Rights (judicial independence, military interference, and police effectiveness); Sound Money (money supply growth, inflation, and foreign currency accounts); Freedom to Trade Internationally (average tariff rates, capital controls, and trade barriers); and Regulation (bank ownership, interest rate controls, and labor market rules).

Each index is scored from 0 (least free) to 10 points (most free). These scores are then equally weighted and aggregated to create a value for each of the five major categories. A country's overall score, which also ranges from 0 to 10, is the average of the five category scores. Mauritius ranked 21st globally with an overall score of 7.76 points. The Indian Ocean island nation achieved its best performance in Freedom to Trade Internationally (8.76 points) and Sound Money (8.61 points).

With a score of 7.58 points, the Seychelles ranked second in Africa and 31st globally. They were followed by Cape Verde (44th), Gambia (68th), Botswana (69th), Uganda (72nd), Kenya (81st), and South Africa (83rd). Morocco and Namibia tied for 94th place in the global ranking, completing the African Top 10. The continent's least economically free countries were Chad (156th globally), Libya (157th), Algeria (162nd), Sudan (163rd), and Zimbabwe (164th).

Globally, Hong Kong maintained its position as the freest economy with a score of 8.85 points, ahead of Singapore, New Zealand, Switzerland, and the United States.

The ranking also highlighted a strong statistical correlation between a nation's level of economic freedom and both its GDP growth rate and average income level. This correlation is attributed to the fact that economic agents operate more efficiently when they have the right to initiative and are motivated to innovate, work, and save.

Walid Kéfi

African Countries Ranked by Economic Freedom, 2025