Now is the time to invest in Africa

BUSINESS

|
Image: By BiztechAfrica
Now is the time to invest in Africa

For too long, Africa has been at the centre of negative publicity, partly promoted by foreign biased media reports and Afro-pessimists, scaring away potential investors and hampering its development. But that seems to be in the past, as European, US and Chinese investors look to Africa for lucrative investment opportunities.

China, in particular, has become economically involved with every country on the continent. Many Chinese companies—some of which are backed by the government—have made significant investments in Africa. "They are really taking a long-term view about investing in Africa," says Louise Robinson, Sales Director of Database 360.

“The governments of countries like China have realised that they're going to need resources from the African continent to fund their growth and consumption in the future, and they aremaking important infrastructure improvements on the continent as part of their ventures.”

This, she says, has resulted in a situation where Chinese companies are far ahead of their South African counterparts in establishing valuable trade relations. “Those that are left behind, stay behind, and while African economies are growing, those South African companies that don’t take the window of opportunity to invest in the continent will lose out to the Chinese, who already have a presence everywhere.”

Robinson adds that many investors have already missed the "ground-floor opportunity" in Africa. According to projections from the World Bank, nine of the 15 countries in the world with the highest rate of five-year economic growth are in Africa, and with governments across Africa working to improve the business climate, there has never been a better time to invest.

The reason many South Africa companies – together with their European and American counterparts – are resistant to moving into Africa is their awareness of the challenges of trade on the continent. However, Robinson points out that engaging with African companies is simple once you know the rules of engagement. “Doing business in Africa is different to doing business in the Westernised economies. But if you know what to expect, it’s manageable. Our extensive experience across the continent has allowed us to gain a complete understanding of the mechanics of doing business in each country, and providing this knowledge in order to ease entry into a market is one of the services we offer,” she explains.

Because of the idiosyncrasies of doing business in different African countries, and because of the general lack of available information, Database 360 provides a complete database and touchpoint solution, offering investors the details of decision makers across Africa as well as the necessary background and other knowledge required to enable  the to effectively make contact with the right people. “Africans are open to providing and receiving information, if you know how to approach them. We leverage our knowledge and experience across the continent in order to ensure that our clients are able to meet their goals,” Robinson says.

Africa is rich in opportunities and potential. It is home to seven out of ten of the world’s fastest growing economies. Despite the continent's structural problems and the relentless focus on aid and debt relief, Ghana's stockmarket was the world's third-best performer last year, while Egypt topped the global table and is soaring this year too. “In the long term, Africa provides a great opportunity, and now is the time to start investing. Those companies that wait too long will be left out in the cold as the continent’s growth reaches its potential,” she concludes.



Share the News

Get Daily Newsletter

comments powered by Disqus

MORE BUSINESS NEWS

VMware reports fourth quarter and full year 2014 results

VMware, the global leader in virtualisation and cloud infrastructure, has announced financial results for the fourth quarter and full year of 2014. Read More

Maroc Telecom completes Moov takeover for 474 million euros

Maroc Telecom said this week that it has completed the takeover of all Moov operations in six African countries to the total value of 474 million euros. Read More

Citrix: SA office workers lose up to 559 hours a year due to lack of flexible work options

A Citrix study has found 20% of South African office workers work longer hours than contracted; losing up to 559 hours per year. Flexible working hours and the use of technology could improve the situation, it says. Read More

Wananchi Telecom prepares for rapid growth across Africa with global network services from Epsilon

Leading East African carrier Wananchi Telecom has partnered with Epsilon to connect African customers to more than 170 countries around the world. Read More

Setback for BTCL IPO as workers cry broke

With the Privatisation of Botswana Telecommunications Corporation Limited privatisation nearing completion, employees claim they do not have the funds to buy the five percent of shares allocated to them. Read More

Nomanini takes Africa by storm using Google Cloud Platform

Nomanini, a Cape Town-based mobile point of sale service that specialises in facilitating cash payments in emerging markets, has successfully scaled into six countries across Africa in just four years, using Google’s Cloud Platform.  Read More

Airtel Kenya announces senior management appointments

Airtel Kenya has appointed Josee Cremieux and Dick Omondi as the new customer service director and corporate affairs director respectively.   Read More

Westcon Africa team expands

Westcon Southern Africa has appointed Brendan Mac Carron in the capacity of Communications and Security Account Manager for the Rest of Africa. Read More

Schneider Electric named Africa Best Employer Brand 2014

Schneider Electric Africa has been awarded the Africa Best Employer Brand Award for 2014/2015 at the annual “Employer Branding Awards (EBA). Read More

Challenges facing today’s CFO’s in driving profit across the African borders

The mode of doing business in Africa has changed and so has the role of the CFO, says SAP Africa. Read More

PRESS OFFICES

Sage ERP AfricaSAP AfricaSage Pastel AccountingTrust PayVMWareSamsung ElectronicsMitsumi DistributionPhoenix DistributionMTN BusinessSchneider ElectricMultichoiceMicrosoft 4Afrika

FEATURED STORY

UCC launches 2015 ACIA awardsUCC launches 2015 ACIA awards

Uganda has launched the fifth Annual Communications and Innovation Awards, which celebrate and foster ICT innovation and achievement.

IN DEPTH

Kenya’s digital TV battle hots up Kenya’s digital TV battle hots up

Kenya’s journey to Digital TV broadcasting took a new turn this week, when the Communication Authority of Kenya (CAK) accused three local media firms of intent to disrupt the process.

COMPANY NEWS

VMware reports fourth quarter and full year 2014 results

VMware, the global leader in virtualisation and cloud infrastructure, has announced financial results for the fourth quarter and full year of 2014.

MTN to empower African businesses with AWS Direct Connect

MTN Group today announced it would be the first African company to offer Amazon Web Services (AWS) Direct Connect to business customers across multiple countries on the ...

“All Systems GO!” for the DStv Eutelsat Star Awards in Zambia

It’s “All Systems GO!” for the winners of the fourth edition of the DStv Eutelsat Star Awards to be announced at the awards ceremony in Lusaka, Zambia ...