The Middle East and North Africa (MENA) region’s cumulative solar and wind capacity is projected to reach 404 GW by 2035, up from 49 GW currently, according to BloombergNEF’s MENA Clean Energy Market Outlook 2026 report.

The report stated that MENA installed a record 16 GW of solar and wind capacity in 2025 and is expected to increase annual additions by 37% in 2026.

Solar capacity additions are expected to reach a record 18 GW in 2026, with utility-scale projects continuing to account for most deployment as government-led procurement expands.

Deployment is also becoming more geographically distributed, according to BloombergNEF. Five markets in the region are projected to install more than 1 GW of solar capacity each in 2026.

Battery storage deployment in MENA is also expected to increase. The region is projected to add 4 GW/16 GWh of battery storage capacity in 2026, double the capacity added in 2025.

According to the report, storage deployment is beginning to scale through projects co-located with renewable energy facilities and a growing pipeline of standalone battery storage auctions.

Wind additions are expected to remain concentrated in fewer markets. Egypt and Saudi Arabia are forecast to account for 86% of the region’s wind capacity additions from 2026 to 2035.

Renewable energy investments in MENA reached $22 billion in 2025, marking the third consecutive annual record. Regional investors accounted for 85% of financing activity during the year.

BloombergNEF said concerns over energy security and exposure to fossil fuels have increased amid the Iran conflict. The report stated that renewables can allow hydrocarbon-producing countries to make more fuel available for export while helping importing countries reduce their dependence on imported fuels.

Africa’s solar market entered a new phase of scale and credibility, with the Africa Solar Industry Association tracking more than 42,000 solar projects across the continent by the end of 2025, representing a total identified pipeline of 296 GW, of which 23.4 GW is already operational.

A January report by the Middle East Solar Industry Association indicates that solar module manufacturing in the MENA region likely exceeded 3 GW by the end of 2024. Production facilities in Iran, Saudi Arabia, Jordan, the UAE, Egypt, and Algeria drove this growth.