China Dominates Clean Energy Investments

In the 10th edition of its World Energy Investment report, published in June, the International Energy Agency (IEA) examines the full spectrum of the energy sector globally, from renewable energy technologies, energy efficiency and access to energy, to oil, gas and coal supply. The IEA underlines that the report "provides a global benchmark for tracking capital flows in the energy sector and examines how investors are assessing risks and opportunities across all areas of fuel and electricity supply, critical minerals, efficiency, research and development and energy finance".

This year's report provides an interesting picture of the projected investments in clean energy worldwide. As our infographic shows, China is estimated to invest by far the most in clean energy in 2025, reaching 29 percent of the global total. China's investments in clean energy should total $630 billion, more than half of all the investments from advanced economies, estimated at $1 trillion. However, as the IEA points out, China is also the world's largest investor in fossil fuels, accounting for an estimated 23 percent of the total in 2025. In second position in terms of clean energy investments this year were the U.S., where spending on renewables and low-emissions fuels almost doubled over the last ten years, while the European Union came third.

As the IEA explains, investment patterns in the energy sector remain very uneven, with many developing economies, especially in Africa, struggling to mobilise capital for energy infrasctucture. Energy investments in Africa are one third lower in 2025 than they were ten years ago, and the continent accounts for only 2 percent of the clean energy investments despite having 20 percent of the world population.