Ease of Doing Business in Africa
Mauritius is the highest ranked sub-Saharan African economy overall followed by Rwanda, Kenya and South Africa respectively. Regulatory reforms in Togo and Nigeria propelled the sub-Saharan African economies to be among the most improved in the World Bank’s rankings for ease of doing business. Nigeria, which vies with South Africa as continent’s biggest economy, rose to 131 from 146 after making improvements in six areas. Doing business measures getting a building permit, obtaining an electricity connection, transferring property, getting access to credit, protecting minority investors, paying taxes, engaging in international trade, enforcing contracts and resolving insolvency.
SOURCES: BLOOMBERG
Top Tips For Budding Entrepreneurs
Bringing your dream to life, being your own boss and adding real value to the world we live in. Sounds good right? Well of course it does, but like most big life goals, entrepreneurship is not for the faint of heart. Building or becoming the next big thing is challenging, nerve-wracking and requires some serious grind work, but at the same time can be one of the most rewarding things you do in your life. So, what can you do to ensure you’re on the right path to owning and maintaining a successful business?
SOURCES: AFRICA.COM
How The Continent Can Use Big-Power Rivalry To Seize Investment Opportunities
Although the EU is still Africa’s biggest investor and trade partner — its two-way commerce was $300bn in 2018 — it is a bloc of countries rather than an individual power. The three individual powers China, the US and Russia offer African nations investment opportunities but also pitfalls rooted in their business approaches. African leaders should pick the best possibilities for their people while avoiding the traps.
SOURCES: BUSINESSLIVE
Cashing In On The Infrastructure Of Africa’s Mobile Revolution
Helios Towers, one of the biggest telecoms tower leasing companies operating in Africa, has raised $364 million after listing on the London Stock Exchange. The listing comes 18 months after Helios Towers first backtracked on a planned initial public offering amid concerns of political stability in its some of its African markets. Helios Towers has nearly 7,000 stations operating in South Africa, Democratic Republic of Congo, Ghana, Republic of Congo and Tanzania.
SOURCE: AFRICANBUSINESSCENTRAL
Russia Aims To Build Closer Business Ties With Africa
This week the Russian government staged its first ever Russia-Africa Economic Forum in Sochi, in the hope of stepping up its influence on the continent and tapping into business and investment deals. The two-day event, co-hosted by Russia and Egypt, aimed to foster political, economic and cultural cooperation. Putin pledged to double Africa-Russia trade over five years as it sat at $20 billion in 2018 and expand its network of trade missions in Africa.
SOURCE: AFRICANBUSINESSMAGAZINE
Lessons From Côte d’Ivoire On Businesses Recovery After Conflicts
Businesses play a vital role in Côte d’Ivoire’s economy. Small to medium-sized businesses alone employ nearly half the working population and account for around 20% of the country’s GDP. Yet few studies have looked at the mid to long-term effects of adverse shocks on businesses. Côte d’Ivoire endured a protracted crisis when the incumbent president, Laurent Gbagbo, refused to leave office following his defeat to Alassane Ouattara in the presidential run-off election of 2010. With all the challenges businesses did indeed recover, but that there were disparities in how quickly they did based on their size.
SOURCE: THECONVERSATION
Investment Opportunities in Uganda
Uganda is quietly mushrooming into a prime investment destination, receiving the most foreign direct investment (FDI) in the region in the last three years, according to the United Nations Conference on Trade and Development (UNCTAD) World Investment Report. Top sectors for investment in Uganda include energy, construction, infrastructure, agriculture and tourism.
SOURCE: AFRICA.COM
Ghana Loses $190 million U.S. Grant Over Cancelled Power Contract
The United States has cancelled $190 million in grants to Ghana under the “Power Africa” initiative in response to the Ghanaian government’s termination of a contract with a private utility provider. The financing was the largest by the United States under Power Africa, which was launched in 2013 by then president Barack Obama and aims to bring electricity to tens of millions of households in Africa.
SOURCE: CNBCAFRICA
The Beauty Industry Looks To Africa for Growth
In recent years, there has been a sharp rise in African beauty brands or African diaspora niche brands that have organically built a customer base providing products made for those with black skin and hair. With Africa’s beauty and personal care market estimated at $11 billion in 2017, the continent is being seen as a major growth frontier for majors including L’Oréal and Unilever pursuing increasing activity in the region. In 2013, L’Oréal acquired the Kenyan company behind Nice & Lovely, a well-known mass-market skin and hair brand, for an estimated $17.6 million. The next year, L’Oréal bought Carol’s Daughter, a business that was started by Lisa Price in her Brooklyn, New York kitchen in 1993, but was valued at $27 million at the time of acquisition. A few years later in 2017, Liberian-born Richelieu Dennis, the founder of one of the best known black skin & hair brands, Shea Moisture, sold his New York-based company Sundial Brands to Unilever. At the time of sale his company was estimated at a whopping $240 million.
SOURCE: QUARTZ AFRICA
Investing In Portuguese-Speaking African Countries
The new African Continental Free Trade Area are making Africa’s Portuguese-speaking countries a hotspot for investor interest. Additionally, new tools such as the Development Finance Compact for Lusophone Africa give investors and lenders more comfort to enter into these markets. The Portuguese speaking countries are determined to increase trade, both among themselves and within their regions, which include Africa’s largest economies. The countries are eyeing the 2019 Africa Investment Forum – the unique investment marketplace for regional investments, pioneered by the African Development Bank last year.
SOURCE: AFDB