Foreign direct investment (FDI) in Africa reached $83 billion in 2021, roughly double the 2020 level.

FDI then declined to $45 billion in 2022 from $80 billion in 2021.

Within this, COMESA’s FDI rose 14% to $22 billion in 2022 and SADC’s FDI quadrupled to $10 billion in 2022.

North Africa’s FDI inflows were down 5% in 2021 to $9.3 billion.

South Africa attracted $40.9 billion in FDI in 2021, while Mozambique received $5.1 billion in 2021 and Nigeria accounted for 5.8% of the continent’s inflows that year.

Egypt’s FDI doubled to $11 billion in 2022, driven by mergers and acquisitions.

Private equity investment in Africa rose to a five-year high of $7.70 billion in 2022 across 404 deals.

Venture capital in Africa grew tenfold over the past five years, with $1.31 billion invested in African startups in 2021. [1].

African startups raised about $1.4 billion in the first nine months of 2023, signaling continued investor interest.

Nearly 70 acquisitions occurred across Africa between 2022 and 2023, and AI startups garnered over five times as much funding in 2023 as in 2022.

West Africa led with 246 recorded deals of $1 million or more between 2019 and 2023, while East Africa recorded 175 such deals.

Energy and gas supply attracted increased FDI of $120 billion in 2022, with a strong emphasis on renewables.

Construction FDI rose to $24 billion in 2022, reflecting a focus on infrastructure development.

Technology and health care remain major magnets for capital, with fintech, renewable energy, and other emerging technologies at the forefront.

Financial services and fintech are expected to expand further, propelled by growing demand for digital payments and mobile banking.

Africa’s Internet economy is projected to reach about $185 billion by 2025 (5.1% of GDP), supporting growth in FinTech, AgroTech, eCommerce, InsureTech, HealthTech, and CleanTech.

Europeans are among the largest investors in Africa, led by the United Kingdom and France.

China’s direct investment in Africa exceeded $40 billion by 2022, and China–Africa trade reached $282.1 billion in 2023.

Chinese financiers committed $153 billion to African public sector projects from 2000 to 2019, focusing heavily on infrastructure.

China accounts for 31% of Africa’s infrastructure projects, with over 1,600 projects launched and $155 billion of sub-Saharan African infrastructure built by Chinese companies. [19].

Signature Chinese-backed rail projects include the Mombasa–Nairobi Standard Gauge Railway and the Addis Ababa–Djibouti Railway, alongside a $2.2 billion rail contract in Tanzania.

The United Kingdom has invested about $65 billion in Africa, and British International Investment plans to deploy $60 billion over five years in renewable power and digital infrastructure across markets including Ethiopia, Kenya, Nigeria, and Egypt.

DP World and the UK’s CDC (now British International Investment) established a $1.72 billion platform to invest in African ports and logistics, with CDC allocating $320 million initially and potentially an additional $400 million, and DP World planning a further $1 billion in African infrastructure.

The United States announced $55 billion in support for Africa and launched the Prosper Africa initiative focused on clean energy, transportation, and removing trade and investment barriers. [31].

The US has also pledged $200 billion for Africa’s infrastructure over five years, while the European Union announced $150 billion in investment funding for Africa and remains the continent’s largest trading partner with 33% of exports.

Saudi Arabia committed to provide $41 billion to Africa by 2030, with investments expected to exceed $25 billion and a focus on securing and financing African exports.

The UAE announced $4.5 billion in funding for clean energy projects in Africa, and Masdar plans up to $10 billion in investments by 2030 to deliver clean energy to 100 million people in Africa by 2035. [6].

DP World has invested $1.7 billion in African transport infrastructure and operates ports in Ain Sokhna (Egypt), Dakar (Senegal), and Berbera (Somalia).

Everstrong Capital is investing $3.6 billion in the Nairobi–Mombasa Expressway in Kenya, launched a $50 million Everstrong Kenya Infrastructure Fund, and is involved in the Dar es Salaam–Mombasa pipeline with Cynergy Gas.

bp is developing Senegal and Mauritania’s inaugural LNG project, Shell is investing in Namibia’s Orange Basin, and Perenco has invested $50 million in Gabon’s Batanga LPG plant, is developing the $1 billion Cap Lopez LNG terminal, and acquired Eni’s assets in the Republic of the Congo for $300 million.

Russian companies including Rosneft, Gazpromneft, and Lukoil have invested in Africa’s energy sector, and Rosatom is building a nuclear power plant in Egypt.

China–Africa TEDA has invested $5 billion in Egypt’s Suez Canal Economic Zone across projects from chemicals to wind turbine blades, creating approximately 7,000 jobs.

Hisense partnered with the China–Africa Fund in South Africa, employing 700 local staff and training 1,400 trainees at its South Africa base.

Off Grid Electric partnered with EDF to expand solar energy access in West Africa, aiming to supply power to two million people in Côte d’Ivoire.

African institutions have been active in forming strategic partnerships with foreign investors.

ZCG partnered with the Nigeria Sovereign Investment Authority to pursue sustainable infrastructure investments in sectors such as healthcare and renewable energy.

BANK OF AFRICA formed a strategic partnership with BANK OF PALESTINE focused on trade finance and correspondent banking to support SMEs and entrepreneurship.

Pipit Global partnered with Cellulant across 18 African countries to reduce remittance costs and expand B2B and B2C payment services.

Arab Contractors partnered with Merkons to establish Arab Contractors – Luanda for construction projects in Angola.

The Africa India Economic Foundation signed an MoU with the African Union and facilitated a $500 million credit line to eight West African countries to promote collaboration between MSMEs and the private sector.

The Global Africa Business Forum hosted 6,000 participants and 22 African presidents, facilitating over 1,150 bilateral investment meetings through Dubai Chamber.

Energy investment needs remain substantial, with Africa requiring $40–70 billion annually and greenfield upstream spending projected to reach $37 billion by 2025.

Nigeria is expected to account for 24% of African oil and gas projects by 2026, with over 100 projects in the pipeline and the 650,000 barrels per day Dangote Refinery commencing operations.

Africa’s geothermal capacity is projected to double by 2050, attracting $35 billion in investment, with Kenya and Ethiopia accounting for 90% of capacity and Kenya expected to surpass 8 GW by 2050.

Green hydrogen represents a major opportunity, with potential for Africa to produce 10% of the world’s green hydrogen by 2030.

Africa houses about 30% of the world’s critical-mineral reserves, underscoring its pivotal role in future supply chains and the case for investing in local value addition.

Macroeconomic and trade shifts continue to expand the opportunity set.

Africa’s population is projected to reach 1.7 billion by 2030, and the African Continental Free Trade Area creates a $3.4 trillion borderless market expected to reach $6.7 trillion by 2030. [38].

Dubai’s non-oil trade with Africa totaled $50 billion in 2020 and is expected to grow by 10% annually through 2025, reflecting deepening commercial ties.

Africa’s Internet economy is projected at $185 billion by 2025, and digitalization could increase the continent’s GDP by $140–320 billion by 2025.

Foreign direct investment (FDI) in Africa reached $83 billion in 2021, roughly double the 2020 level.

Title:

Content: FDI flows to North Africa down 5% in 2021
Foreign direct investment to North Africa fell 5 percent to $9.3 billion for the whole of 2021, according to a report on “Investing in the World ” released by the United Nations Conference on Trade and Development (UNCTAD) on June 9, 2022.
These investments, towards Tunisia, improved slightly from $652 million in 2020 to $660 million in 2021.
The same investment to Morocco increased by 52 percent to 2.2 billion dollars in 2021, compared with a 12 percent drop to 1.5 billion dollars in Egypt.
Despite the decline in these investments in Egypt, it remains the second country to benefit from the inflow of foreign direct investment in Africa.
According to the same report, the flow of foreign direct investment in Africa reached a record level of $83 billion for the whole of 2021, more than double the investment achieved for the whole of 2020.
Despite this significant growth, the flow of investment to Africa in 2021 represented only 5.2 percent of the global total, compared to 4.1 percent in 2020.
Most African countries saw a slight increase in foreign direct investment (FDI) in 2021.
These investments developed in South, East and West Africa, while they maintained their previous levels in Central Africa, while declining in North Africa.
Europeans remain the most important investors in Africa, led by investors from the United Kingdom ($65 billion) and France ($60 billion).
Increased investments in renewable energy
Despite the overall positive trend of foreign direct investment towards Africa, the announcement of new projects remained weak at $39 billion and shows only a weak recovery compared to $32 billion recorded in 2020 and less than $77 billion recorded in 2019.
In parallel, the number of international projects in the field of renewable energies in Africa increased to an estimated 71 projects, almost double the 36 projects completed in 2011.
Among these projects is a $20 billion project that aims to export wind energy to the UK from Morocco.
By laying 3,800 km of submarine cables.

FDI then declined to $45 billion in 2022 from $80 billion in 2021.

Title:

Content: Chairman of the Board of Directors and Editors
I'm sorry.
Mohamad Elbaz
Chairman of the Board of Directors and Editors
I'm sorry.
Mohamad Elbaz
It has reached $11 billion.
UN highlights doubling of foreign direct investment in Egypt
The United Nations Trade and Development Board (UNCTAD) said in its annual report on foreign direct investment flows for the year 2022, on Wednesday in Geneva, that Egypt witnessed an increase in foreign direct investment more than doubled to $11 billion as a result of increased cross-border M & A sales.
Investment flows to Africa fell to $45 billion in 2022 from a record $80 billion in 2021 and accounted for 3.5 percent of global foreign direct investment, the report said, adding that international project financing deals targeting Africa showed a 47 percent drop in value.
The report pointed out that the number of announcements of new projects increased by 39% to 766, and that six of the 15 largest new investment mega projects (those worth more than $10 billion) announced in 2022 were in Africa, stressing that Egypt witnessed an increase in foreign direct investment more than doubled to $11 billion as a result of increased cross-border M & A sales.
The number of new projects has more than doubled to 161, and the value of international project financing transactions has increased by two-thirds to $24 billion.
FDI inflows have risen over the past five years in four of the continent ’ s regional economic groupings, with FDI in the Common Market for Eastern and Southern Africa (COMESA) growing by 14% to $22 billion, and inflows also rising in the Southern African Development Community (SADC) (quadrupled to $10 billion) and the West African Economic and Monetary Union (WEMU) (doubled to $5.2 billion). East African Community (up 9% to $3.8 billion).
According to the report, the largest increase in 2022 was in new field projects announced in energy and gas supply (to $120 billion from $24 billion in 2021), and the value of projects in construction and extractive industries rose to $24 billion and $21 billion, respectively, while the information and communication sector recorded the largest number of projects.
European investors remain by far the largest owners of FDI in Africa, led by the United Kingdom ($60 billion), France ($54 billion) and the Netherlands ($54 billion).

What was the total FDI inflow to Africa in 2022 and how did it compare to 2021?

$45 billion, which was down from $80 billion in 2021

Within this, COMESA’s FDI rose 14% to $22 billion in 2022 and SADC’s FDI quadrupled to $10 billion in 2022.

North Africa’s FDI inflows were down 5% in 2021 to $9.3 billion.

South Africa attracted $40.9 billion in FDI in 2021, while Mozambique received $5.1 billion in 2021 and Nigeria accounted for 5.8% of the continent’s inflows that year.

Title:

Content: AFED: EGYPT RECEIVED $5.1 BILLION INVESTMENTS IN 2021
GDP growth is expected to rise to 4.4% this year
Abdulrahman Abu Al-Enein
6: 52 AM, Wednesday, 31 May 23
Recent data issued by the African Development Bank (AfDB) revealed that Egypt ranked second in terms of foreign direct investment flows in the continent in 2021 and attracted nearly $5.1 billion.
According to the Africa Economies Outlook 2023, South Africa was the largest recipient of foreign direct investment in 2021 with investments of more than $40.9 billion, nearly half of the total inflows to the continent in that year, followed by Egypt and Mozambique, which each attracted nearly $5.1 billion, representing about 6.2% of the total volume.
In the same context, the report expected Egypt ’ s GDP growth rate to decline to 4.4% this year from 6.6% estimated last year, and to rise to 5.1% next year.
The report pointed out that the inflation rate rose from 4.5% in the fiscal year 2020 / 2021 to 8.5% in the fiscal year 2021 / 2022 due to the rise in food and energy prices globally and the devaluation of the pound against the dollar.
He said that the current account deficit shrank to 3.5% of GDP in the fiscal year 2021 / 2022 compared to 4.4% in the previous fiscal year 2020 / 2021 due to the rise of tourism revenues to 10.7 billion dollars against 4.9 billion dollars, respectively.
The African Development Bank pointed out that the banking sector remains profitable and well capitalized, noting that the rate of non-performing loans reached 3.2% in June 2022, explaining that subsidies and social protection programs have reduced the impact of high food and energy prices on vulnerable families.
The Minister of Planning Hala Al-Said said in previous statements that despite the current effects of the Russian-Ukrainian crisis, which is likely to spread over the next year, the Egyptian economy is expected to grow by 4.2% by the end of the current fiscal year 2023-2022.
Al-Saeed said that with the development of inflationary trends in the Egyptian economy and despite the success of the state in curbing it and reducing it from very high levels (25% in 2017-2016) to less than 5% in 2021-2020, the rate increased to about 15% in 2022, and continued to rise, especially after the Russian-Ukrainian crisis.
Foreign direct investment in Mozambique increased by 68% in 2021, the report said, noting that these investments were largely directed to green projects in the energy sector.
Nigeria accounted for 5.8% of FDI inflows to Africa and Ethiopia 5.1% despite economic challenges.
The bulk of foreign direct investment in these countries is increasingly going to clean energy resource projects.
Mauritius and South Africa recorded the largest outflows in 2021, but a few countries recorded net inflows, including Egypt ($18 billion) and Nigeria ($5.9 billion).
The Bank estimates that capital flight through net investment outflows continued in 2022 at around $28 billion, which is close to the 2021 level due to higher interest rates linked to deflationary monetary policies in developed countries.
Official development assistance (ODA) to Africa stabilized at $65 billion in 2021 after the previous 28 percent jump in 2020.
The significant increase in such assistance since 2020 reflected the support provided by the international community to help African governments address the humanitarian, social and economic impacts of the coronavirus epidemic and the difficult global economic conditions.
The African countries that saw the largest increase in ODA in 2021 included Egypt (428%), Equatorial Guinea (115%), Angola (109%), Gabon (82%) and Sudan (60%).
The report pointed out that official development assistance to Egypt during 2021 amounted to about 8.2 billion dollars, Ethiopia 4 billion dollars, Sudan 3.8 billion dollars, the Democratic Republic of the Congo 3.5 billion dollars, Nigeria 3.4 billion dollars, and Kenya 3.1 billion dollars.
African countries need to leverage this external support to address existing vulnerabilities and build more resilient economies, given the risks that advanced economies are reallocating resources for reconstruction and humanitarian assistance in Ukraine at the expense of meeting the continent ’ s official development assistance commitments.
Ukraine received $16.1 billion in net official development assistance (ODA), equivalent to 7.8 percent of the total aid resources provided last year.
It is noteworthy that the report was launched in light of the annual meetings of the African Development Bank Group held under the auspices of President Abdel Fattah El Sisi in Sharm El Sheikh from 22 to 26 May.

Egypt’s FDI doubled to $11 billion in 2022, driven by mergers and acquisitions.

What trends are emerging for African startups in 2022?

significant merger and acquisition activity

Which African countries are driving the venture capital ecosystem?

Private equity investment in Africa rose to a five-year high of $7.70 billion in 2022 across 404 deals.

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African private equity activity surges to 5-year high in 2022

Private equity and venture capital investments in Africa soared 66% year over year in 2022 to $7.70 billion, the highest aggregate value for the region in the last five years, S&P Global Market Intelligence data shows.

The massive jump was mainly due to the proposed acquisition of hospital operator Mediclinic International PLC, which is valued at more than $5 billion.

Transaction volume, which includes M&A and rounds of funding, has steadily climbed in the region since 2018 and reached 404 deals in 2022. The continent saw a full-year increase in transaction volume even as activity slowed sharply in the final quarter of the year.

Investments with private equity involvement totaled $370 million in the fourth quarter of 2022, down 71% from $1.28 billion in the prior-year period. Deal volume declined 43% over the same time frame.

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Attractive valuations, young demographics

African technology companies offer appealing entry valuations and high growth rates of about 100% annually compared to peers in the U.S., according to Fope Adelowo, principal at Helios Investment Partners LLP, which invests in telecommunications, media and financial services across the region.

"The growth outlook for those sectors are not only quite positive, but they are also, in many ways, noncyclical," Adelowo said. "When you look at the global environment, whether that's people using more digital methods to make payments ... consumers consuming more data, we're really just in the early stages."

African economies are also buoyed by young populations that are "increasingly entrepreneurial and driven by technology-led innovation," Adelowo said. Money moved into venture capital in the region has grown about 10x in the last five years, largely due to that young population, which is "very digitally engaged." That is helping drive innovation to address inefficiencies in many sectors in Africa, Adelowo added.

Health, tech sectors drawing interest

Once the multibillion-dollar deal for Mediclinic closes, that transaction will become the largest private equity capital deployment in Africa in the last three years. Mediclinic's buyers include Remgro Ltd. and SAS Shipping Agencies Services SÀRL. The deal is expected to close in the first quarter.

The technology sector, particularly digital infrastructure, is also attracting investor interest, Adelowo said. There is an imbalance in the supply of data centers, for example, compared to growth expected from consumers that need more data and are spending more time online.

Africa's financial services and fintech sectors are also expected to continue to grow as many African countries increasingly move to a cashless society, Adelowo added.

What trends are emerging for African startups in 2022?

Venture capital in Africa grew tenfold over the past five years, with $1.31 billion invested in African startups in 2021. [1].

Title:

Content: Is Africa a good place to start a business?

Africa is experiencing a technology boom: the rapid penetration of Internet and mobile technologies make this region more and more interesting for IT entrepreneurs, despite the specificity and heterogeneity of the market.

IT in Africa

The African continent is a large market, as well as a source of direct access to a large audience with smartphones and a wide range of resources. The region is rich in coal, oil, ferrous metal ores, graphite, aluminum, and phosphate and consists of 54 countries, extremely diverse in terms of population, digitalization, economy, and purchasing power. Since January 2021, the continent has had a free trade zone between the countries of the African Union.

The market entry threshold is low, there is no fierce competition, and the potential for growth and demand for technology projects is enormous: the region has many problems that can be solved through innovation.

The continent has a crazy rate of Internet development and a native love of smartphones. You can buy bananas on the street and pay with your mobile account.

Students are often interested in starting their businesses. More often than not, students choose completely new locations and new startup ideas. We recommend that you consider Africa for your business because in a few years it will bring you success. But first, we recommend visiting Africa as a tourist to get a feel for the atmosphere. If you got carried away with preparing for a trip to Africa and forgot to write a research paper on time do not panic. After all, it’s no trouble, because a student service will always come to your aid. So if you’re wondering if you can pay someone to write my paper, always go to the WritingAPaper service. Its experts will help with any academic paper, and you will have time for exciting trips.

By 2025, experts predict Africa’s Internet economy should reach 5.1% of GDP – about $185 billion. FinTech, AgroTech, eCommerce, InsureTech, HealthTech, and CleanTech are considered the most in-demand areas.

According to research firm Briter Bridges, venture capital investment in African startups totaled $1.31 billion in 2021, most of which came from fintech projects. Kenya, Nigeria, and Egypt are considered to be the drivers of the region’s venture capital ecosystem: projects from these countries have received the most investment over the past few years compared with their neighbors on the continent. More than 30% of the continent’s technology hubs are concentrated here.

“The GDP of the entire region is $6.8 trillion. If Africa were a single country, it would be fourth in the world after China, the U.S., and India. Undoubtedly, the economic power of the region is still small, but in the next 30-50 years, it is predicted a stable growth in the range of 6-12% per year, and this process will be accompanied by the creation of new industries and businesses.

GDP per capita in terms of purchasing power parity in Africa is $5.2 thousand, for comparison, in the Russian Federation – $29.4 thousand, in the USA – $68.3 thousand, in Europe – about $41 thousand. However, in the top 20 fast-growing economies of the world, six lines are African countries: Benin, Ghana, Ethiopia, Tanzania, Rwanda, and Cote d’Ivoire. The main technological hubs on the continent are concentrated in South Africa, Nigeria, and Egypt.

The level of development of the IT market in Africa is 5-10 years behind other countries. Until now, only 28% of the continent’s population has access to the Internet, but in the last few years, the situation is gradually changing. Now the digital industry in Africa is actively developing, and the international market is noticing this trend.

African Accelerators & Incubators

There are more than 600 technology centers in Africa, among them incubators, gas pedals, and co-working spaces for companies. One of the most famous technology centers is the CcHUB. It is located in Yaba, Nigeria’s Silicon Valley. CcHUB boasts a rich network of 650 startups across Africa.

CcHUB partners with Amazon, and Google for Startups, Visa, and other international companies. The incubator focuses on projects in health, smart transportation infrastructure, fintech, education, and cybersecurity.

Another major center actively developing a technology and innovation startup environment is the MEST incubator in Ghana. Assistance from the Meltwater Foundation allows MEST to target startups from all over Africa at the earliest stages of development, train entrepreneurs for free, and help with product prototyping and hypothesis testing.

MEST is an educational program for IT entrepreneurs, an internal seed fund, and a network of incubators for technology startups in Africa. The hubs are located in Accra, Lagos, Cape Town, and Nairobi. The organization has been active since 2008, actively supporting programmers and engineers. One of the programs lasts a year, is designed for 60 start-ups, and is completely free. MEST has many famous partners, such as the acceleration program for fintech startups supported by the French bank Societe Generale.

In Ethiopia today, three private business incubators are systematically working with technology startups: BlueMoon, iceAddis, and iCog/Solve. The first has more AgriTech, the second has eCommerce startups, and the third has programming, including AI projects.

The iCog/Solve gas pedal hosts Ethiopia Hacks, a series of 12 hackathons in which 600 people have already participated. The project is funded by the U.S. Department of State and the U.S. Agency for International Development, with Google Developers Group (GDG) and the Center for Accelerated Women’s Economic Empowerment (CAWEE) as partners.

Here, with the support of Kenya’s Ministries of Health and Transport, the famous MSafari service was created to monitor the passenger flow of public transport.

The Cape Innovation and Technology Initiative (CiTi) is the oldest technology business incubator on the continent. Located in Cape Town and founded in 1999, it focuses on the development of IT projects. During its existence, it has helped three thousand entrepreneurs to create more than two thousand companies and continues to be actively involved in the Cape Town technology community.

iHub – each year the gas pedal supports 450 startups. The gas pedal has a wide range of programs for business startups. One of them is aimed at the development of IT projects run by women.

Startupbootcamp Afritech – runs several accelerator programs, including ASIP Accelerator Program and iNovo. Project recruitment happens all the time, and there is a virtual and offline passing format. The program is supported by Amazon, Nedbank, PwC, and other large companies. Participants have a chance to receive an investment of 15 thousand euros.

The most specialized technoparks are presented in South Africa – Technopark Stellenbosch, Highveld Techno Park, and The Innovation Hub. Notable technoparks exist in Senegal (Dakar Technopolis), Rwanda (Kigali ICT Park), Madagascar, and Zimbabwe at NUST University.

Africa, with a population of 1.35 billion, could overtake China and India in the next decade. McKinsey estimates that by 2025, the region will have 360 million smartphones and 240 million computers and laptops, and digitalization will increase GDP by $140-320 billion. Not surprisingly, such a large – and still technologically untapped – market is beginning to play an increasingly prominent role in the economic arena.

Thanks to the serious penetration of smartphones and the large percentage of the young population, the African market is becoming a convenient environment for launching and developing technological projects. A large number of fragmented states at different stages of economic development makes it difficult to create a unified startup industry in the region but does not prevent the effective functioning of individual technology hubs with which large international companies are willing to cooperate.

Localization of foreign projects in Africa is complicated by a large language group, corruption, and the specific mentality of the population, but the potential growth opportunities and lack of serious competition more than offset the possible risks.

We are committed to Africa

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What trends are emerging for African startups in 2022?

African startups raised about $1.4 billion in the first nine months of 2023, signaling continued investor interest.

Title:

Content: Shares

Africa is often hailed as the birthplace of some of the world’s most exciting tech startups. From Cape to Cairo, small businesses across the continent have become catalysts for change, helping to drive economic prosperity and leaving their mark on local society.

Having produced several industry shakers in the fintech space, it’s perhaps not surprising that the continent has become a very attractive option for startup investment. According to Boston Consulting Group, the rate of growth in the number of African startups receiving financial backing between 2015 and 2022 was nearly six times faster than the global average. And during the first nine months of 2023 alone, these tech ventures raised around $1.4 billion.

With SMEs already accounting for up to 90 percent of businesses in Sub-Saharan Africa, much focus is placed on supporting this vital sector of the economy to reach the levels of success we’ve come to associate with Africa’s tenacious startup culture.

The question is – how do we empower the small business down the road to rise to the ranks of a Flutterwave in Nigeria or M-KOPA in Kenya?

Much of the answer lies in providing these enterprises with the technology they need to drive operational efficiencies and scale their operations. Cloud technology has, for example, played an important part over the years in supporting Flutterwave’s core operations. Kenyan startup, M-KOPA, which provides digital financial services to underbanked consumers, also relies heavily on the computing capacity of the cloud. Its ability to process 500 payments per minute makes it possible for the startup to provide 3 million people across Africa with access to essential services such as solar power systems, digital loans, health insurance and smartphones.

Beyond fintech, small businesses are having a transformative impact on other key sectors such as healthcare. And as with Flutterwave and M-KOPA, many of these enterprises have something important in common – the backing of powerful technology.

In South Africa, Omnisient is helping to elevate crucial decision-making across healthcare systems through a recent partnership with Altron HealthTech. The startup has created a platform that facilitates data collaboration across records and datasets and can securely match anonymised patient information in a safe environment for analysis. This allows Altron’s healthcare partners more insight into disease patterns and can improve treatments and medication efficacy.

Another startup leaving its mark in the healthcare space, Zen Dawa, is helping to reimagine pharmaceutical operations across both rural and urban areas of East Africa by creating online access to pharmaceutical offerings as well as financing solutions for small businesses and pharmacy shops. By making use of Microsoft’s robust AI platform built on Azure, the startup is helping to contribute positively to the availability of essential medicines across East Africa.

However, there are still many challenges to be addressed when it comes to drawing a larger number of the continent’s SMEs into the digital economy. Africa is still behind other regions in the world when it comes to digital infrastructure coverage, access, and quality. We are also still battling a shortage of skills and inadequate regulatory policy environments. With just 22 percent of the population online, Sub-Saharan Africa is still the world’s least connected region.

Addressing these issues will rely in no small part on the development of strategic alliances across both public and private sectors. These collaborations are pivotal to the development of comprehensive solutions to the multi-faceted challenges faced by small businesses in Africa. The FGN-ALAT digital Skillnovation Programme is a great example of this. A partnership between the Federal Government of Nigeria, Wema Bank, Get Funded Africa and Microsoft, the programme aims to train and equip one million micro, small and medium enterprises (MSMEs) across the country by the end of June 2024. Already 350, 000 MSMEs have been impacted.

Beyond skills, these businesses require business mentorship and access to market and finance opportunities – through effective collaboration the initiative aims to address all these needs in a holistic manner, facilitating opportunities, for example, to receive debt financing, equity investment and grants.

The more Africa can produce successful collaborations such as these, the more we’ll start to see a greater number of small businesses emerge as powerful economic contributors. These strategic partnerships hold the key to unlocking immense potential across sectors, empowering entrepreneurial ventures to drive new digital solutions to long-standing challenges and creating a ripple effect that reverberates throughout the continent.

By Gerald Maithya – General Manager, Microsoft Africa Transformation Office

Nearly 70 acquisitions occurred across Africa between 2022 and 2023, and AI startups garnered over five times as much funding in 2023 as in 2022.

Title:

Content: In 2023, standards became higher than ever for global tech. Customers want to be able to buy something in two clicks but still need in-person customer service. Workers want to work digitally, ideally from a beach somewhere, while maintaining a connection with their colleagues. And the truth is these standards are unlikely to get lower soon.

In Africa, the tech scene hasn’t been any less dramatic. It was, in many ways, a market correction. Several startups shut down, while many others survived by bone-deep cost-cutting or mergers and acquisitions. Founders and investors have gone from chasing Silicon Valley-esque growth to seeking a balance with the African market. Between 2020 and 2023, African tech went from the “peak of inflated expectations” point to the “plateau of productivity” side of Gartner’s hype cycle.

Now, what’s next? That’s what everyone wants to know as we enter a new year. Predicting the future is hard and risky. But it’s even harder in the digital tech industry because, as we’ve seen in the past three years, things change fast and dramatically. However, 2023 gave several pointers to trends we should all pay attention to in the new year.

Crypto/Web3

2022 was a rough year for the crypto market. Everything went wrong, from Terra’s downfall to FTX’s scandal. But 2023 was a lot better as Bitcoin ended the year over 150% higher than where it started. The Solana blockchain also made a dramatic comeback, with its token rising over 1000%.

Why does this matter? Because price is still the main driver of the crypto ecosystem. Funding pours into startups when prices are high and dry up when prices are low. It also means the hype bubble will likely return because markets become irrational in the face of high prices.

Africa is the fastest-growing cryptocurrency market among developing economies, primarily because people seek to hedge against inflation. Young people are drawn to low-barrier opportunities to generate wealth, which is crypto’s biggest use case today.

Africa’s regulatory environment is also slowly buying into crypto. In December, Nigeria’s central bank lifted a ban on cryptocurrency transactions, saying global trends had shown a need to regulate such activities.

Artificial intelligence

AI has become the rave of the moment, thanks to OpenAI’s breakthrough with ChatGPT. The chances that an image or text you see on social media are products of generative AI are higher than ever. Every big tech player is in the race for AI dominance. Google launched Gemini in December, a few weeks after Elon Musk’s xAI launched Grok, another ChatGPT competitor.

One in every four dollars that went into the pocket of an American startup was related to AI, per Crunchbase data. According to McKinsey data, AI startups garnered over five times as much funding in the first half of 2023 as they did over the same period in 2022. Global demand for talent in this section also spiked in 2023. LinkedIn job postings that mention AI or generative AI have more than doubled since 2021.

In Africa, we are seeing more startups either focus on AI or apply it to their processes. For instance, OnePipe, a Nigerian fintech, uses artificial intelligence for fraud detection and prevention and biometric verification for customer KYC implementation. It also uses natural language processing for conversational transactions. Nokwary, a Ghanaian startup, uses speech recognition and conversational user interfaces to enable visually impaired people and those who can’t read and write to interact with banking apps and systems through spoken commands.

The biggest challenge to an AI boom in Africa is data. However, this poses a huge opportunity for research and data collection companies in the continent.

Mergers and Acquisitions

Many startups shut down between 2022 and 2023, either because they couldn’t raise more cash or because tough economic times got the better of them. But that wasn’t the only trend that emerged. Many others survive by getting acquired. Nearly 70 acquisitions have happened between 2022 and 2023, according to data from The Big Deal and BD Funding Tracker. Some notable deals were Risevest and Chaka, BioNTech and InstaDeep, Bitmama and PayDay, and FairMoney and PayForce.

Mergers and Acquisitions will likely remain a trend for as long as valuations are low. Over the last two years, startups have been more cautious about bloating their valuations, and investors have kept the same sentiment. It’s partially why we haven’t recorded new unicorns in a minute. MNT-Halan was the only new entrant in the last two years.

This also creates an opportunity for African startup marketplaces, which will replicate Acquire.com to make acquisition easy for startups with solid products but low clout.

International work for Africans

Many African countries saw their currencies devalued in 2023. Inflation rates have also spiked in many economies. This creates a stronger appeal for them to earn foreign currencies and an [almost worrisome] opening for Westerners to find cheap labour in Africa. This is crucial because wage rates are rising in China and India, making it increasingly expensive for companies to outsource services there.

Studies by Bloomberg show that China’s upper-middle class now dominates, with over 200 million urban households having disposable incomes of $16k — $34k. Meanwhile, many Sub-Saharan economies have seen their middle-class shrink in recent years.

Also, there aren’t enough opportunities for young people to work remotely in Africa. Ten to twelve million young Africans enter the labour market each year, and an estimated one-third of the 600 million young people entering the global market by 2030 will be young Africans.

This trend will create opportunities for new approaches to apprenticeship or employment matching. It also means startups focused on building tech talent will likely see growth in 2024.

New regional preferences

In 2024, investors could reevaluate their regional strategies in response to changing macroeconomic and political conditions. Per the EIU, fifteen African countries have elections next year, and investors will observe their outcomes keenly. Elections are fraught with risk, especially in regions where armed conflict is rampant. The EIU notes that elections in Algeria, Egypt, Ghana, and South Africa will add to political risk, which could have long-term implications on where investors put their money.

An AVCA survey revealed that LPs favoured investing in West Africa while GPs leaned towards East Africa. The data aligns with this: between 2019 and 2023, per The Big Deal, there were over 700 recorded deals worth $1m or more. West Africa led the pack with 246, East Africa with 175, Northern Africa with 160, Southern Africa with 147, and Central Africa with 14. Depending on the degree of confidence, the numbers could realign with investors becoming more risk-averse. It’s all “wait and see” going into 2024.

Elsewhere on Ventures

What trends are emerging for African startups in 2022?

significant merger and acquisition activity

Which sectors are Chinese investments in Africa focusing on?

West Africa led with 246 recorded deals of $1 million or more between 2019 and 2023, while East Africa recorded 175 such deals.

Energy and gas supply attracted increased FDI of $120 billion in 2022, with a strong emphasis on renewables.

What trends are emerging for African startups in 2022?

Construction FDI rose to $24 billion in 2022, reflecting a focus on infrastructure development.

Technology and health care remain major magnets for capital, with fintech, renewable energy, and other emerging technologies at the forefront.

What trends are emerging for African startups in 2022?

Which sectors are Chinese investments in Africa focusing on?

Financial services and fintech are expected to expand further, propelled by growing demand for digital payments and mobile banking.

Which sectors are Chinese investments in Africa focusing on?

Which sectors received the most foreign investment?

Africa’s Internet economy is projected to reach about $185 billion by 2025 (5.1% of GDP), supporting growth in FinTech, AgroTech, eCommerce, InsureTech, HealthTech, and CleanTech.

Europeans are among the largest investors in Africa, led by the United Kingdom and France.

Which countries are actively investing in Africa besides China?

China’s direct investment in Africa exceeded $40 billion by 2022, and China–Africa trade reached $282.1 billion in 2023.

Title:

Content: 【 Printing 】
China has maintained its status as Africa ’ s largest trading partner for 15 consecutive years.
Related LINKS http: / / www.CRNT.com 2024-02-21 11: 08: 01
BEIJING, Feb. 21 (Xinhua) -- China has maintained its status as Africa 's largest trading partner for 15 consecutive years. In 2023, China-Africa trade reached a historical peak of US $282.1 billion, an increase of 1.5% year-on-year.
According to Changjiang Wei, Department of West Asia and Africa of the Ministry of Commerce, economic and trade cooperation is the "ballast stone" and "booster" of China-Africa relations.
Driven by the pragmatic measures of the past sessions of the Forum on China-Africa Cooperation, China-Africa economic and trade cooperation has always maintained a strong vitality, and China-Africa economic and trade cooperation has achieved fruitful results.
The scale of China-Africa trade has reached new highs and the structure has continued to be optimized.
Imported agricultural products from Africa have become a bright spot for growth. In 2023, China imported nuts, vegetables, flowers and fruits from Africa increased by 130%, 32%, 14% and 7% respectively.
Mechanical and electrical products to non-exports of the "main force", "new three" products to non-exports to achieve faster growth, new energy vehicles, lithium batteries, photovoltaic products exports increased by 291%, 109% and 57%, strong support for Africa's green energy transformation.
China-Africa investment cooperation is growing steadily.
China is the largest non-investment developing country.
By the end of 2022, China ’ s stock of direct investment in Africa exceeded US $40 billion. In 2023, China ’ s direct investment in Africa still maintained a growth trend.
The industrial agglomeration effect of parks such as the China-Egypt Teda Suez Economic and Trade Cooperation Zone, Hisense South Africa Industrial Park, and Nigeria ’ s Laiki Free Trade Zone continues to show, attracting a number of Chinese enterprises to invest in Africa, covering various fields such as building materials, automobiles, household appliances, and agricultural product processing.
China-Africa cooperation in infrastructure construction has achieved remarkable results.
Africa is China's second largest overseas contract engineering market, Chinese enterprises have accumulated more than 700 billion US dollars in non-signed contract engineering contracts, completed turnover of more than 400 billion US dollars, and implemented a number of landmark projects and "small and beautiful" projects in the fields of transportation, energy, electricity, housing and people's livelihood.
The African Center for Disease Control and Prevention, the Lower Kaifu Gorge Hydropower Station in Zambia, and the Senegalese Fanggioni Bridge have been completed, which has effectively promoted the local economic and social development.
The momentum of China-Africa cooperation in emerging fields has accumulated.
Cooperation in emerging areas such as digital economy, green and low-carbon, aerospace, and financial services has continued to expand, injecting new vitality into China-Africa economic and trade cooperation.
China and Africa joined hands to expand the cooperation of "Silk Road E-commerce", successfully held the African Good Goods Network Shopping Festival, and implemented the African "100 stores, 1000 products on the platform" action, which led Chinese enterprises to actively contribute to the development of African e-commerce, mobile payment, media entertainment and other industries.
China has signed air services agreements with 27 African countries and successfully built and launched meteorological communication satellites for Algeria and Nigeria.
Not long ago, the "China-Africa Economic and Trade Cooperation Pilot Zone Construction Master Plan" was approved by the State Council and agreed to be officially issued, actively supporting Hunan Province in the construction of the China-Africa Economic and Trade Cooperation Pilot Zone, becoming another major event in the development of China-Africa economic and trade cooperation. "In the past three years, the province has maintained an average annual growth of 23.1% of rapid development momentum.
Equipment manufacturing, energy mining, road and bridge housing construction, agricultural development and other advantages of the industry into Africa, hybrid rice, engineering machinery and other technologies and products enjoy popularity in Africa. "The long-term mechanism of trade cooperation and exchange.
Jiang Wei said that the Chinese side will continue to uphold the concept of true affinity and the correct concept of justice and benefit, and work with the African side to fully play the role of the leading region, lead the transformation and upgrading of China-Africa economic and trade cooperation, improve quality and improve efficiency, and better benefit the Chinese and African people.
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Who is Africa's largest trading partner and what was the trade value in 2023?

Chinese financiers committed $153 billion to African public sector projects from 2000 to 2019, focusing heavily on infrastructure.

Title:

Content: Global investors waiting to pour in money in Africa to firewall China

By IANS | Published: August 2, 2021 02:09 PM2021-08-02T14:09:05+5:302021-08-02T14:25:34+5:30

New Delhi, Aug 2: After a tepid inflow of foreign direct investments (FDI) into Africa in 2020 amid the ...

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New Delhi, Aug 2: After a tepid inflow of foreign direct investments (FDI) into Africa in 2020 amid the Covid-19, investors are once again warming up to the continent. According to the United Nations Conference on Trade and Development (UNCTAD), FDI flows into Africa declined by 16 per cent in 2020 to $40 billion, from $47 billion in 2019.

China, the primary investor in the continent, has also slowed down its investments into the continent leaving an opportunity for other investors.

While the UNCTAD projected FDI inflow into Africa to grow this year, it said that the slow vaccine roll-out programme is a cause for concern. According to UNCTAD, FDI to the continent is projected to grow by only 5 per cent in 2021. But analysts said Africa as an investment destination has led to "an unprecedented curiosity" among other countries, which are now aggressively looking to mute China's dominance in the continent.

"Africa is critical in the new geopolitical and geo-economic contours. The continent, with its vast natural resources, offers a ready growth platform," an analyst told India Narrative.

According to a study published by Brookings Institution last week, Africa is home to 17 per cent of the world population. However, by 2050, it will have 26 per cent of the global population 2.53 billion people. "If Africa is not successfully integrated into the global economy, there could be a major threat to global prosperity and stability," the study said, adding that by 2050, the continent will be home to an estimated $16.12 trillion of combined consumer and business spending.

The African Continental Free Trade Area (AfCFTA) – the mega trade could give a push to intra-continental investment.

Touted as one of the biggest trade deals in the world, the AfCTA aims to create a single market comprising 1.3 billion people with a combined GDP of about $3.4 trillion.

Meanwhile, the US may have woken up late in recognising the potential of Africa but is making all attempts to make up for the lost time.

The Group of Seven or G7 has already decided to support US President Joe Biden's proposal of carving out a mega infrastructure plan under the "Build Back Better World" (B3W) initiative, expected to bring in transparency and sustainability. Besides, the initiative will be carried out only in consultation with local communities.

The G7 in its meeting in June also announced that it will increase its support to the Indo Pacific and Africa. "We resolve to collaborate with partners around the world, including in the Indo-Pacific and Africa, to actively promote these shared values for the good of all," said the statement.

India too has pressed the pedal on investments in the region. Sources said that the still-born Asia Africa Growth Corridor—the mega infrastructure project that was launched in 2017 to connect Asia and Africa must be revived.

Carnegie Endowment for International Peace noted that Chinese financiers committed $153 billion to African public sector borrowers between 2000 and 2019. "After rapid growth in the 2000s, annual lending commitments to Africa peaked in 2013, the year the BRI was launched. By 2019, though, new Chinese loan commitments amounted to only $7 billion to the continent, down 30 percent from $9.9 billion in 2018," it said.

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China accounts for 31% of Africa’s infrastructure projects, with over 1,600 projects launched and $155 billion of sub-Saharan African infrastructure built by Chinese companies. [19].

Title:

Content: Africa receives 31% of over US $50 million in infrastructure contracts in 2022
Author: External Submission
Published: Updated:
On August 13, local time, Hong Kong's "South China Morning Post" published an article that pointed out that with China's "Belt and Road" initiative and encouraged Chinese enterprises to go overseas to find markets and raw materials, China and Europe's share of the African infrastructure market gradually reversed, and Chinese enterprises are increasingly becoming the "main force" of African infrastructure.
This article is authorized to reprint by the Observer Network; author: Fan Wei
According to a recent report by the Hinrich Foundation, in 2013, 37% of infrastructure projects in Africa were carried out by Western companies, while only 12% were carried out by Chinese companies.
By 2022, 31% of African infrastructure contracts worth more than $50 million will be awarded by Chinese companies, compared with 12% by Western companies.
The study ’ s author, Keith Rockwell, a former World Trade Organization (WTO) official, said that under the Belt and Road Initiative, China has helped build a series of large-scale infrastructure projects in Africa, such as the Mombasa-Nairobi Standard Gauge Railway, the Addis Ababa-Djibouti Railway, and the Doraleh Multipurpose Port in Djibouti. The purpose of the port, etc.
Rockwell pointed out that China is also Africa ’ s largest trading partner, with a total trade volume of $250 billion in 2021, compared with $62 billion for the United States and Africa.
China has invested $155 billion in infrastructure projects in sub-Saharan Africa in the past two years, the study said.
“With such close trade and commercial ties, it ’ s no surprise that China won most of the infrastructure contracts [in Africa]. ” Despite“ headwinds in China ’ s dealings with Africa, ” Rockwell stressed that China-Africa relations are “broad and deep ” and are likely to remain strong for many years to come.
Sub-Saharan Africa ’ s geo-economic analyst Ali Sachu said China was more innovative in financing and “significantly faster ” in shifting its strategic focus to the continent.
The European Union and the United States are trying to catch up with China in Africa.
In June 2022, US President Joe Biden officially announced a Group of Seven (G7) infrastructure plan that aims to raise $600 billion over five years to fund the infrastructure needed by developing countries.
In December 2021, the European Union launched a multi-billion euro Global Gateway initiative to help developing countries build infrastructure.
Although both Europe and the United States avoided mentioning China directly when they launched their plans, analysts generally believe that the Western moves are aimed at countering China ’ s “Belt and Road ” strategy.
In response to the question of whether there is a competitive relationship between the US-EU global infrastructure plan and the Belt and Road Initiative, the Chinese side pointed out that the Belt and Road Initiative is a pragmatic and open initiative and upholds the principle of consultation, co-construction and sharing.
There is business in cooperation, and there is justice in communication.
We welcome initiatives from other countries as long as they are not ideologically drawn, and we are all happy to see them succeed as long as they do not involve geopolitical private goods.
As Sachu puts it, China has an “undisputed lead ” in Africa, where, after more than 20 years of contact, it already has a lot of“ assets. ”
Over the past 10 years, the Belt and Road Initiative proposed by China has gradually turned the beautiful blueprint into a reality picture, and a “national landmark ”,“ livelihood project ” and “cooperation monument ” have emerged.
Africa has always actively responded to the Belt and Road Initiative. Among the 53 African countries that have established diplomatic relations with China, 52 countries and the African Union Commission have signed cooperation documents with China to jointly build the Belt and Road Initiative.
Infrastructure is also a priority area for China-Africa economic and trade cooperation and joint construction of the "Belt and Road".
According to China New Network, in the past 10 years, central enterprises and African countries in infrastructure and other areas of cooperation has achieved fruitful results.
Up to now, central enterprises have launched more than 1,600 infrastructure projects in Africa, making positive contributions to improving the level of infrastructure in Africa and accelerating connectivity.
The world ’ s largest open-air uranium mine, the Namibian Lake Hill uranium mine, the largest one-time investment vehicle manufacturer in Africa, South Africa ’ s North Automobile Factory, and the Botswana – Gaborone to Bottler four-lane highway, currently the highest grade in Botswana, are all behind these infrastructure projects.

Signature Chinese-backed rail projects include the Mombasa–Nairobi Standard Gauge Railway and the Addis Ababa–Djibouti Railway, alongside a $2.2 billion rail contract in Tanzania.

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By multiplying the heavy infrastructure projects in Africa, China, and Russia aim to establish their influence in the countries of the continent, which risk their part to find themselves "trapped", warn experts.

Railway lines, and civil infrastructure: China is multiplying gigantic projects in cooperation with African states, of which it is becoming one of the main donors.

"One in three major infrastructure projects in Africa is built by Chinese state-owned companies, one in five is financed by a Chinese institutional bank," says Paul Nantulya, of the Africa Center for Strategic Studies, who report of the US Department of Defense.

Beijing is taking advantage of the void left by the withdrawal of Western countries, which are more hesitant to finance these projects. "The Chinese saw this void and decided to invest in infrastructure," remarks Mr. Nantulya.

But at what cost? Anna Borshchevskaya , of the Washington Institute, think tank, points to a "debt trap" for African countries. “China offers loans for expensive infrastructure projects” and “when a country cannot repay its loan, China takes control of its strategic assets,” she says.

During her visit to Senegal in January, U.S. Treasury Secretary Janet Yellen called on African countries to _"be careful about tempting deals."_These can "be opaque and ultimately fail to help the people they were meant to help," she said, referring to deals China has made in Africa.

Many of the poorest states are heading towards over-indebtedness, or even default, UN agencies said at the conference of least developed countries organized by the United Nations in Qatar in early March.

“China should be the last to be accused (of using) the debt trap,” Chinese Foreign Minister Qin Gang retorted on March 7 at a press conference. "China has worked hard to help troubled countries and is the main contributor to the G20 debt service suspension initiative," he added.

In Kenya, one of the gigantic projects carried out by China is the railway line linking the city of Mombasa to the Rift Valley, at a cost of five billion dollars, 90% financed by Beijing. China is Kenya's second-largest donor, after the World Bank.

Tanzania has signed a $2.2 billion contract with a Chinese company for a rail line linking the country's main port to its neighbors.

While some projects turn out to be profitable, the real benefit so far lies with Beijing, with maintenance contracts that can last up to 99 years, according to Mr Nantulya, who adds that the local impact is low because the employees are overwhelmingly Chinese.

The expert also recalls that the debt crisis of the 1990s in Africa was caused by the West and not by China or Russia.

The main country exporting arms to Africa, Russia, for its part, is strengthening its presence on the continent thanks in particular to mining projects granted to the private paramilitary group Wagner, suspected of abuses in Moscow's war against Ukraine.

In January, the United States accused Wagner of "widespread human rights violations and natural resource extortion" in Africa. Accusations reiterated by the European Union, which took sanctions against the group in February.

Mr Nantulya notes that the group operates in Mali, Sudan, and the Central African Republic, but not "in democratic environments", citing Ghana, Namibia, and Senegal. Experts have also denounced the environmental impact of Chinese and Russian projects on the continent.

Both countries are "notorious for greater negligence when carrying out their projects, compared to their Western counterparts" , underlines Ms. Borshchevskaya. "China is the world's largest emitter of greenhouse gases" and finances "coal power plants abroad", she adds.

And "Russia's mining projects ... have reportedly resulted in high levels of toxic metal compounds, pollution of groundwater resources, soils and vegetation."

In Liberia, these impacts are "serious", points out Davestus James, of the Liberia Center for Peacebuilding and Democracy. “Citizens are victims of their own resources,” he says. "The erosion caused by the mines pollutes drinking water (...), the resources are also monopolized and exported to the detriment of the citizens."

The United Kingdom has invested about $65 billion in Africa, and British International Investment plans to deploy $60 billion over five years in renewable power and digital infrastructure across markets including Ethiopia, Kenya, Nigeria, and Egypt.

Title:

Content: British International Investment Plc (BII) aims to invest $60 billion in Africa over the coming five years, Bloomberg reported on July 27th.

The investments will be made in several fields including renewable power and digital infrastructure, along with supporting women-owned businesses.

BII will pay attention to the powerhouse markets in Ethiopia, Kenya, Nigeria, and Egypt, with the investments being focused on the private sector.

The support plan, which is a part of a global program worth $10 billion, covers a $76 million contribution to a $500 million fund being arranged by Old Mutual Ltd’s African Infrastructure Investment Managers.

For his part, BII’s CEO Nick O’Donohoe said in an interview that his fully-owned company by the UK has been a major investor in power, particularly renewable energy, in Africa over the past three or four years.

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What trends are emerging for African startups in 2022?

Which European countries lead investment in Africa?

DP World and the UK’s CDC (now British International Investment) established a $1.72 billion platform to invest in African ports and logistics, with CDC allocating $320 million initially and potentially an additional $400 million, and DP World planning a further $1 billion in African infrastructure.

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Content: ...
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DP World enters $1.7 billion partnership in Africa
CDC to allocate $320 million to joint investment platform
Posted in: Last Updated:
DP World and British development finance group CDC said on Tuesday they had agreed to jointly invest in Africa ’ s transport and logistics infrastructure for a total of $1.72 billion.
The two companies said the investments in ports, container depots, commercial complexes and other infrastructure will be through an investment platform recently established by DP with the British group.
Dubai government-owned DP World said it had contributed to the platform with minority stakes in three ports it operates in Africa and planned to invest $1 billion within the next few years.
DP ports are located in Ain Sokhna, Egypt, Dakar, Senegal, and Berbera in the breakaway Somaliland region of Somalia.
CDC said it had allocated $320 million to the investment platform, through which it expects to inject an additional $400 million over the next few years.

What is the total value of DP World and CDC's investment in Africa?

Which European countries lead investment in Africa?

Which countries are actively investing in Africa besides China?

The United States announced $55 billion in support for Africa and launched the Prosper Africa initiative focused on clean energy, transportation, and removing trade and investment barriers. [31].

Title:

Content: Global Markets

US investors eye bigger share of Kenyan market

Summary

  • The visit by the US officials is part of president Biden’s new push to expand business ties between US companies and African countries like Kenya.
  • The effort is part of the revival of Prosper Africa, an initiative began by former US President Donald Trump in 2018.

US President Joe Biden’s administration and American firms are expected to announce new investments in Kenya across sectors such as energy, health and agri-business as top officials and business delegation land in Nairobi this week.

A brief released ahead of the visit by the US government seen by Business Daily said US deputy assistant secretary of State Akunna Cook and Prosper Africa acting chief operating officer Leslie Marbury will travel to Kenya alongside Nigeria, South Africa, and Namibia on an economic diplomacy visit, between February 14 and March 1.

“The delegation will meet with entrepreneurs, women-owned and small and medium-sized enterprises, investors, and policy-makers to drive US trade and investment in Africa’s creative industries, ICT and digital technologies, and energy and infrastructure, among other fast-growing sectors,” said the US State Department.

The visit by the US officials is part of president Biden’s new push to expand business ties between US companies and African countries like Kenya.

The effort is part of the revival of Prosper Africa, an initiative began by former US President Donald Trump in 2018 that the Biden administration aims to make the “centrepiece of US economic and commercial engagement with Africa.”

“The delegation will advance this commitment by connecting businesses and investors with Prosper Africa tools and resources to remove trade and investment barriers, drive transactions forward, and promote market opportunities,” said the US government on the visit.

Prosper Africa will focus on clean energy, health, agribusiness and transportation infrastructure. President Biden, who requested nearly $80 million (Sh9 billion) for the initiative in his budget proposal last year, aims to focus it on women and equity, with an expanded role for small- and medium-sized businesses.

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Which countries are actively investing in Africa besides China?

The US has also pledged $200 billion for Africa’s infrastructure over five years, while the European Union announced $150 billion in investment funding for Africa and remains the continent’s largest trading partner with 33% of exports.

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Content: Africa Business World

Impact of G7’s multi-billion dollar plan on Africa’s infrastructure gap

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In late June 2022, it was announced at the G7 Summit in Germany that a USD 600 billion lending initiative, the Partnership for Global Infrastructure Initiative (PGII), would be launched to fund infrastructure projects in the developing world, with a particular focus on Africa.

The G7 countries – Canada, France, Germany, Italy, Japan, the United Kingdom (UK) and the United States (US) – explained the PGII would help address the infrastructure gap in developing countries.

The US

The US has recently renewed its focus on impact-building and financing strategic, long-term infrastructure projects in Africa, with the Export-Import Bank of the United States (EXIM) supporting infrastructure development on the continent. According to a 2020 report by McKinsey and Company – Solving Africa’s infrastructure paradox – the US accounts for 38% of global investors who have an appetite for African investment, by far the most of any country.

In 2021, the US launched a refreshed “Prosper Africa initiative”, focusing on improving reciprocal trade and investments that create jobs and build infrastructure between the two regions. In 2022, the US announced it would mobilise USD 200 billion over the next five years as part of the PGII, in the form of grants, financing and private sector investments. Some deals have already been announced, including, for example, a USD 2 billion solar energy project in Angola, and the building of multiple hospitals in Côte d’Ivoire.

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The EU

In February 2022, the European Commission announced investment funding for Africa worth EUR 150 billion. The funding package is part of the EU Global Gateway Investment Scheme and is said to be in the form of EU combined member funds, member state investments and capital from investment banks.

In early 2020, the European Commission published its Comprehensive Strategy with Africa, outlining the region’s plans for its new, stronger relationship with the continent. The strategy document laid out five top priorities for the EU in Africa: the green transition and improving access to energy; digital transformation; sustainable growth and jobs; peace and governance; and migration and mobility.

The UK

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The UK is also making a strong play for influence, investment and trade with Africa, post-Brexit. Further to key summits in 2020 and 2021, finance is being redirected into Africa from the UK. In 2022, UK development finance institution (DFI), British International Investment (formerly CDC Group), announced it had exceeded its pledge to invest GBP 2 billion in Africa over the last two years.

The UK’s Global Infrastructure Programme helps partner countries (including in the African continent) to build capacity to develop major infrastructure projects, setting up infrastructure projects for success and paving the way for UK companies to support these projects.

Further, in November 2021, it was announced that the governments of South Africa, France, Germany, the United Kingdom and the United States of America, along with the European Union, were in negotiations to form a long-term Just Energy Transition Partnership.

The partnership focuses on boosting the decarbonisation of the South African economy, with a commitment of USD 8.5 billion for first round financing. It is expected that 1-1.5 gigatonnes of emissions will be prevented over the next 20 years, assisting South Africa to accelerate its just transition. Discussions are also currently taking place to establish a similar partnership in Senegal.

African solutions

The African Development Bank noted in early 2022 that Africa’s infrastructure investment gap is estimated at more than USD 100 billion per year.

DFIs are increasingly anchoring the infrastructure ecosystem in Africa – serving a critical function for project finance as investment facilitator and a check on capital. DFIs can shoulder political risk and access government protections in a way that others cannot, enter markets others cannot and are uniquely capable of facilitating long-term lending.

The large amount of capital needed to fill the infrastructure gap, however, means that DFIs cannot bridge it alone. Private equity, local and regional banks, debt finance and specialist infrastructure funds are primed to enter the market, and multi-finance and blended solutions are expected to grow in popularity as a way to de-risk deals.

The African Union’s 55 member states have stated that their primary funding needs include support in terms of safety and security on the continent, as well help in implementing the African Continental Free Trade Agreement (AfCFTA) and the massive infrastructure investment it needs to be successful.

The development of supporting infrastructure is key to boosting AfCFTA’s free trade potential, especially in terms of transportation, energy provision, internet access and data services, education and healthcare infrastructure projects.

Infrastructure projects in Africa now also have a heightened focus on improving Africa’s capacity for green, low-carbon and sustainable development, via, for example, clean energy, community healthcare and support, green transport, sustainable water, wildlife protection and low-carbon development projects.

Funding such projects comes with responsibility –  projects must not only be bankable and yield attractive returns, but must also be sustainable and provide tangible benefits to local economies and communities. All of Africa’s major partners have noted they will prioritise projects that commit to Environmental, Social and Governance principles, and access to capital for large infrastructure projects is likely to contain sustainability requirements.

That the focus of the PGII is on the sustainability and the social impact of these projects in Africa is further evidenced in the White House briefing room statement issued at the launch in June 2022, where it was stated that the PGII will “mobilize hundreds of billions of dollars and deliver quality, sustainable infrastructure that makes a difference in people’s lives around the world…”

Author: Michael Foundethakis, Baker McKenzie’s Global Head of Projects and Trade & Export Finance, and Africa Steering Committee Chair

Sourced from Africa Feeds

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Which countries are actively investing in Africa besides China?

Saudi Arabia committed to provide $41 billion to Africa by 2030, with investments expected to exceed $25 billion and a focus on securing and financing African exports.

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Saudi Arabia to provide $41 billion to African countries in investments and financing until 2030
(dpa)
Published on: Friday 10 November 2023 - 5: 52 PM | Last updated on Friday 10 November 2023 - 5: 52 PM
The Crown Prince and Prime Minister of Saudi Arabia, Prince Mohammed bin Salman, announced that the Kingdom will provide 41 billion dollars to African countries in the form of investments, financing and development projects until 2030.
Prince Mohammed said in his speech at the Saudi-African summit held on Friday in Riyadh that the Kingdom is looking to inject new Saudi investments in various sectors in the continent with more than $25 billion, secure and finance $10 billion of exports and provide additional funding of $5 billion to Africa until 2030 to develop partnership relations with African countries and develop trade and integration fields.
The Crown Prince also announced the launch of the Custodian of the Two Holy Mosques Development Initiative in Africa by launching development projects and programs in the continent worth more than $1 billion over 10 years.
In his speech, the Crown Prince referred to the close relations with African countries and said that the Kingdom has provided more than $45 billion to support development and humanitarian projects in 54 African countries.
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Which country is expected to stimulate economic growth and job creation in Nigeria through investment?

The UAE announced $4.5 billion in funding for clean energy projects in Africa, and Masdar plans up to $10 billion in investments by 2030 to deliver clean energy to 100 million people in Africa by 2035. [6].

Title:

Content: Global News
The world today - in the footsteps of the United Arab Emirates.
“Renewable energy ” is growing in Africa.
You are now following the news of Emirati footsteps.
The hope of "renewable energy" rebounds in Africa from the news section of the world and now we leave you with full details
Mohammed - Abu Dhabi on Wednesday 20 September 2023 05: 22 PM - 2021 saw record levels of global investment in renewable energy globally, amounting to $434 billion.
Of that amount, only 0.6 percent went to Africa, according to a report by RES4Africa.
These "disappointing" figures were followed by a "glimmer of hope" for the continent, through steps announced by the UAE, which has emerged as one of the largest investors in Africa.
Emirati Steps to Africa
At the recent African Climate Summit held in Nairobi, Kenya, Sultan Al Jaber, UAE Minister of Industry and Advanced Technology and President-designate of COP28, announced $4.5 billion in funding for clean energy projects across the continent.
Masdar, a global leader in clean energy and one of the world ’ s largest clean energy investors, has announced a new initiative in partnership with Africa50, the pan-African infrastructure investment platform, to invest up to $10 billion in clean energy projects targeting 10 gigawatts of clean energy by 2030.
The announcements follow an initiative launched by the UAE last year, known as Union 7, to provide clean energy to 100 million people across Africa by 2035.
Experts say all these steps represent a "dose of hope" for Africa's renewable energy prospects.
Failed Westerners.
Al Jaber has criticized Western advanced economies for failing to deliver on their renewable energy investment pledges to the developing world, highlighting in particular the imbalance between Africa and the rest of the world with regard to green investment.
Aubrey Haroubi, a member of the Atlantic Council and an adviser to African markets, said: “African countries feel let down by the West on climate finance.
“The UAE is filling this vacuum in a meaningful way.
This shows that they are taking climate investment in Africa seriously, and this is an important signal ahead of COP28.
The UAE will host the upcoming United Nations Climate Change Conference (COP-28).
According to official data, climate finance in the developing world will be at the top of the agenda.
In a speech in Egypt during the annual meetings of the African Development Bank in May, Al-Jaber pointed out that “the 54 countries in Africa are the least among the countries in the world in causing climate change, yet they suffer the worst consequences. ”
Al-Jaber also pointed out that current climate finance to Africa is not enough at all, stressing that the continent needs more than ten times the size of current funding for climate projects.
“Addressing the financial gap is a top priority for the COP28 presidency and my team, ” Al Jaber said.
The UAE is a major investor in Africa
Besides renewable energy, the UAE has emerged as a major investor in Africa over the past decade.
According to a study by White and Case, the UAE has emerged as the fourth largest global investor in Africa after China, the United States and Europe.
From 2012 to 2022, the UAE recorded nearly $60 billion in foreign direct investment (FDI) in the continent, according to FDI markets and the study.
Intermediates between emerging and Western countries
Forbes noted that the UAE ’ s high levels of investment in Africa and across the emerging world have enabled it to play the role of mediator in what is becoming a controversial debate among “emerging ” countries, sometimes at odds with the developed West, over what it sees as“ climate hypocrisy. ”
The emerging countries ’ argument suggests that advanced economies in Europe and the United States have built their growth on fossil fuels and now have the resources and capacity to move towards net zero emissions in the future, but developing countries that have not yet experienced the same growth could be excluded from future development if fossil fuels are too limited.
To partially alleviate these concerns, the world ’ s advanced economies have pledged $100 billion a year in climate finance by 2020 for the developing world.
This pledge was first made in Copenhagen during COP15.
Critics say that amount is far from enough to meet the challenge.
Unfair change.
Many specialists point out that the continent will continue to need fossil fuels for a long time in order to achieve its development goals.
Gyude Moore, a senior member of the Center for Global Development and former minister of public works in Liberia, acknowledges the scale of the climate problem, but says insisting on Africa ’ s shift from fossil fuels to renewables is “unrealistic and unfair. ”
Rahul Tongea, a member of the Brookings Institution, said poor countries are already low emitters, and it would be unfair to immediately enforce a ban on fossil fuels.
“Unfortunately, the rush to zero has been interpreted as a relentless ban on public subsidies for new fossil fuel energy.
This is both unfair and unworkable. ”
A bridge between Africa and the world
Amid this debate, Aubrey Haroubi noted that “the UAE can play an important role as a bridge between developing countries and advanced economies.
They have credibility in both worlds.
He added: “The world is looking for countries that can provide a third way.
The UAE can play this role because of its close ties with Western capitals and its growing ties across Africa and emerging markets. ”
The UAE is a major investor in clean energy at home and around the world, and the UAE hosts two of the world ’ s top ten solar parks.
Paolo Gomes, president of Orango Africa Investment Corporation, said: “The UAE announcement is an important step in the right direction and sets the right course for the upcoming COP28 summit.
However, Gomes points out that a major aspect of Africa ’ s energy problem is due to the mismanagement of utility companies, which must be reformed to address energy poverty across the continent, where some 600 million Africans lack access to electricity.
With the right infrastructure in place, the IEA predicts an ambitious scenario to increase solar and wind power in Africa eightfold by 2030.
We hope that we have succeeded in conveying the full details of the news of Emirati steps..
“Renewable energy ” is growing in Africa.
In God ’ s care and protection.
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DP World has invested $1.7 billion in African transport infrastructure and operates ports in Ain Sokhna (Egypt), Dakar (Senegal), and Berbera (Somalia).

Everstrong Capital is investing $3.6 billion in the Nairobi–Mombasa Expressway in Kenya, launched a $50 million Everstrong Kenya Infrastructure Fund, and is involved in the Dar es Salaam–Mombasa pipeline with Cynergy Gas.

Title:

Content: The sports category has moved to a new website.

Details emerge about U.S. firm bankrolling the Sh477B Nairobi-Mombasa Expressway

Kenyans will be paying toll fees to use the road for approximately 30 years

U.S.-based Everstrong Capital is spearheading the construction of the Usahihi Expressway, a major project set to transform transportation between Nairobi and Mombasa.

The $3.6 billion (Sh 477.9 billion) venture will introduce a 440-kilometre toll road designed to streamline travel and boost economic activities in the region.

The Usahihi Expressway will feature a 4-6 lane dual carriageway, promising to slash travel time between Nairobi and Mombasa from 10.5 hours to 4.5 hours.

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The Kenya National Highways Authority (KeNHA) signed the Sh477 billion deal with Everstrong Capital as President William Ruto was in the U.S. for state visit.

According to the company, construction of the road is scheduled to start in March 2025.

This ambitious project will be developed under a 30-year concession and is expected to be completed within 3-4 years.

Key elements of the expressway include rest stops, wildlife observation points, and electric vehicle charging stations powered by renewable energy.

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The expressway will be financed through a public-private partnership (PPP) model, with funding structured as 70% debt and 30% equity.

Everstrong Capital, along with a consortium of U.S. companies, is leading the charge, and the company is set to recoup the investment by charging motorists to use the road, a similar model applied on the Nairobi Expressway.

The Usahihi Expressway is projected to create hundreds of thousands of jobs, bolstering economic growth and improving connectivity within the region.

Everstrong Capital, established in 2015, has offices in the U.S., Kenya, and South Africa.

The firm’s investment portfolio spans energy, transportation, communication, healthcare, and housing sectors, with a notable emphasis on East Africa.

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One of its flagship initiatives, the Everstrong Kenya Infrastructure Fund (EKIF), is a $50 million fund dedicated to investing in the region’s infrastructure.

The company’s leadership includes prominent figures such as Philip Dyk, the founder, and Managing Partner, with over 30 years of experience in financial advisory and equity investments.

Kyle McCarter, the former U.S. Ambassador to Kenya, also serves as a senior advisor, bringing extensive expertise in manufacturing and asset management.

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  1. Everstrong Kenya Infrastructure Fund (EKIF): Everstrong is sponsoring a $50 million fund focused on investing in energy, transportation, communications, and social infrastructure projects in East Africa.
  2. Power generation: Through, Gulf Power, the company has a 20-year power purchase agreement (“PPA”) to sell electricity and generating capacity to Kenya Power. Everstrong became an investor in December 2018.
  3. Milele Energy: Milele Energy is a pan-Africa energy platform sponsored by Everstrong to develop and invest in renewable and clean energy projects in sub-Saharan Africa. The Salone Power Project in Sierra Leone, an 83.5MW gas power plant, secured a $217 million loan and $54 million political risk insurance from the US International Development Finance Corporation (US DFC).
  4. Dar es Salaam-Mombasa Pipeline: In collaboration with Cynergy Gas and Power Ltd, Everstrong Capital is developing a 480-kilometre natural gas pipeline from Dar es Salaam, Tanzania, to Mombasa, Kenya. This pipeline will enable industries to switch from coal and heavy fuel oil to natural gas, reducing pollution and energy costs.

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Which African countries are driving the venture capital ecosystem?

bp is developing Senegal and Mauritania’s inaugural LNG project, Shell is investing in Namibia’s Orange Basin, and Perenco has invested $50 million in Gabon’s Batanga LPG plant, is developing the $1 billion Cap Lopez LNG terminal, and acquired Eni’s assets in the Republic of the Congo for $300 million.

Title:

Content: Global investment in upstream oil and gas is set to reach $570 billion in 2024, showing a 7% rise compared to 2023 expenditure. Of this, 33% is expected to be directed towards frontier fields, presenting a strategic opportunity for undeveloped oil and gas markets in Africa. With lack of investment representing one of the biggest challenges to project development across the continent, the African Energy Chamber (AEC) (www.EnergyChamber.org) will host a networking reception on July 11 in London – Europe’s financial capital. Taking place at the Four Seasons Hotel London at Park Lane from 17:00 to 21:00, the reception bridges the gap between European financiers and African energy projects, promoting synergies, deals and future collaborations.

Despite holding some of the largest untapped oil and gas resources worldwide, Africa is faced with an energy crisis, with 600 million people currently living without access to electricity and 900 million people without access to clean cooking solutions. The African Development Bank estimates that to address this crisis, the continent requires between $40 billion and $70 billion in annual investment. Presently, Africa receives on average $35 billion in global financing for fossil fuels and clean energy projects, with merely 5% of global energy investment directed towards the continent. This showcases a clear investment gap and a strategic opportunity for European funders and project developers.

With over 125 billion barrels of proven crude oil, 620 trillion cubic feet of natural gas and abundant opportunities in solar, wind and geothermal, Africa continues to attract investment from some of the world’s biggest players. The continent’s greenfield upstream spending, for example, is projected to reach $37 billion by 2025 and $50 billion by 2050, with companies eager to unlock the full potential of undeveloped oil and gas. Specifically, a strong slate of London-based oil and gas firms are driving a wave of project developments across the continent.

These include energy major bp, who is developing Senegal and Mauritania’s inaugural LNG project – the Greater Tortue Ahmeyim (GTA) facility – and Mozambique’s Coral Sul FLNG project. GTA is on track for first production in 2024 while bp delivered first gas from Coral Sul in 2022, marking the first LNG cargo for the country. Additionally, energy major Shell is making strides towards opening up the Orange Basin in Namibia. The company’s Graff-1 discovery in 2022 was play-opening and Shell has made an additional five discoveries since then. The company is investing 25% of its deepwater exploration budget in the country this year.

Additionally, independent hydrocarbon producer Perenco inaugurated the $50 million Batanga LPG plant in 2023 and is developing the $1 billion Cap Lopez LNG terminal in Gabon. The company is also investing in shallow-water and marginal assets across the continent, acquiring Eni’s core assets in the Republic of the Congo in June 2023 for $300 million. Oil and gas company Tullow Oil anticipated commercial oil production in Kenya in 2028 while transitional energy company Chariot oil and gas recently signed a gas commercialization agreement with Vivo Energy in Morocco. These developments – all led by London-based companies – represent just some of the many underway across the continent.

The AEC Reception builds on these deals to promote new investment in African energy. Taking place in London – both Europe’s financial capital and its biggest stock market – the reception is all about connecting companies to opportunities. The total value of companies listed on the London Stock Market reached $2.18 trillion in June 2024, highlighting a commercial and strategic opportunity for the reception and African energy projects.

The AEC London Reception takes place ahead of the continent’s largest energy event, the African Energy Week (AEW): Invest in African Energy conference, scheduled for November 4-8 in Cape Town. Under a mandate to make energy poverty history by 2030, the event unites global investors and technology providers with African energy projects, with discussions tailored around unlocking high returns and generating mutually beneficial opportunities. Participants at the AEC’s London Reception have the chance to gain exclusive insight into AEW: Invest in African Energy 2024 while engaging with a suite of African stakeholders.

This year’s AEW: Invest in African Energy will host the African Energy Finance Summit – a platform that galvanizes financial support for African energy projects, while promoting deal-signing and partnerships. Hosted in partnership with multilateral financial institution the African Export-Import Bank and global market intelligence firm S&P Global Commodity Insights, the summit brings capital to Africa with the aim of making energy poverty history by 2030.

Don’t miss the chance to be at the forefront of Africa’s energy transformation. Register for the AEC’s London Reception at https://apo-opa.co/3KUx0qt or contact register@aecweek.com.

AEW: Invest in African Energy is the platform of choice for project operators, financiers, technology providers and government, and has emerged as the official place to sign deals in African energy. Visit www.AECWeek.com for more information about this exciting event.

Distributed by APO Group on behalf of African Energy Chamber.

Russian companies including Rosneft, Gazpromneft, and Lukoil have invested in Africa’s energy sector, and Rosatom is building a nuclear power plant in Egypt.

Title:

Content: All news

Russia ready to share technologies with African countries — Putin

It is added that major Russian investment projects are already being implemented in Africa with the participation of Rosneft, Gazpromneft, RusHydro, Alrosa and Lukoil

MOSCOW, March 20. /TASS/. Russia will continue helping African nations produce electricity and will share its technologies with them, President Vladimir Putin said at the international parliamentary conference ‘Russia-Africa in a Multipolar World’ on Monday.

"We will continue helping African countries in the production of electricity, where the continent is only meeting a quarter of its needs," he said, adding that major Russian investment projects are already being implemented in Africa with the participation of Rosneft, Gazpromneft, RusHydro, Alrosa and Lukoil.

"Today, we offer new environmentally friendly technologies, mainly in nuclear energy," Putin stressed. Rosatom is already constructing an NPP in Egypt, he said, adding that the company also plans to extend its presence in the development of national energy systems on the African continent. "Significant, in some countries by 100%, financing is provided by Russia, those being major projects totaling $15, $20, $25 bln," the president noted.

China–Africa TEDA has invested $5 billion in Egypt’s Suez Canal Economic Zone across projects from chemicals to wind turbine blades, creating approximately 7,000 jobs.

Title:

Content: China-Africa TEDA Investment Co, the operator of China-Egypt Suez Economic and Trade Cooperation Zone (TEDA Suez) in the Suez Canal Economic Zone (SCZONE), is finalising eight projects representing investments worth more than $5 billion.

The projects range from chemicals to wind turbine blades, according to a press statement issued by the General Authority for the Suez Canal Economic Zone. The projects are as follows:

These projects are expected to provide approximately 7,000 job opportunities, the statement by the Authority noted.

(Writing by Eman Hamed; Editing by Anoop Menon)

(anoop.menon@lseg.com)

How many jobs were expected from the February 2023 foreign investment projects?

Which African countries are driving the venture capital ecosystem?

Hisense partnered with the China–Africa Fund in South Africa, employing 700 local staff and training 1,400 trainees at its South Africa base.

Title:

Content: People 's Daily Online > > Economy and Technology
Hisense and other enterprises are included in the "China Enterprise Investment in Africa Report (2023)"
October 26, 2023 16: 39 | Source: China Economic Network
Small number
Original title: Hisense South Africa model: written into the "China Enterprise Investment Africa Report (2023)"
On October 24, the China Enterprise Investment in Africa Report (2023) was released in Beijing.
The report pointed out that Chinese enterprises are an important force in promoting the development and transformation of Africa's industrial chain.
Under the guidance of the China-Africa Cooperation Forum, China-Africa industrial chain cooperation has helped Africa's industrial chain development and transformation through six modes, such as industrial docking and capacity cooperation, industrial parks and industrial investment, infrastructure and industrial foundation, technology transfer and talent training, demand and supply promotion, and institutional innovation and practice exploration.
Hisense, Huawei and other enterprises have been included in the report for actively promoting talent localization as a model case.
Through the analysis of more than 90 Chinese enterprises and 20 China-Africa cooperation projects, the report explores the impact of the China-Africa policy framework and existing cooperation models on the African industrial chain, highlights the role of Chinese enterprises in the development and transformation of the African industrial chain, and points out the basic ideas for the development and transformation of the African industrial chain and the future potential of China-Africa industrial chain cooperation.
Wu Peng, Director of the African Department of the Ministry of Foreign Affairs of China, said that as a partner in Africa's exploration of modernization, China will build the Belt and Road and the China-Africa Cooperation Forum platform, strengthen the docking with the African Union's Agenda 2063 and African countries' development strategies, especially through investment cooperation to promote Africa's industrialization development, enhance the added value of African resources, and expand the share of African manufacturing industry chain.
The report pointed out that the successful transfer of technology depends on the cultivation of talents, and China strongly supports the development of education in Africa.
Chinese companies are also actively promoting localization of non-talent, such as Huawei and Hisense.
Taking Hisense South Africa Industrial Park as an example, the report introduces the measures taken by Chinese enterprises to actively promote localization and training of African talents.
In 2013, Hisense and the China-Africa Fund jointly invested in the construction of Hisense South Africa Industrial Park, which is the largest domestic appliance manufacturing plant in South Africa in 40 years by Chinese enterprises, and has now formed a complete and complete industrial chain with products exported to more than 20 African countries.
At present, Hisense South Africa employs more than 700 local employees, accounting for 90% of the total number of employees, and about 70% of the management positions are occupied by local employees. A total of 1,400 trainees have been trained at the base, which helps them master electronic technology, software and equipment control.
It is understood that the report is the third release after 2021 and 2022, and was prepared by the China-Africa Civil Chamber of Commerce, which was co-authored by the China-Africa Civil Chamber of Commerce and the China-Africa Economic and Trade Cooperation Research Institute.
Nearly 300 delegates from African countries, including those who came to China to attend the 16th Senior Officials Meeting of the Forum on China-Africa Cooperation, attended the meeting.
(Editor: Cao Miao, Li Yuan)
Public Number ： People 's Network Finance
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What is the impact of Chinese companies on jobs in Africa?

Off Grid Electric partnered with EDF to expand solar energy access in West Africa, aiming to supply power to two million people in Côte d’Ivoire.

Title:

Content: Africa’s Off Grid Electric partners with EDF

By Polycarp Kazaresam

Off Grid Electric (leading distributed solar company in Africa) and EDF (global leader in low-carbon energies) today announced a partnership to supply competitive off-grid solar energy in Africa. This partnership will take the initial form of joint venture ZECI in Ivory Coast. This first joint venture aims to supply power to nearly 2 million people in Ivory Coast by year 2020, with plans to rapidly extend the partnership’s initiatives to other countries in the region.

Within the scope of this joint venture, ZECI, EDF and Off Grid Electric will install and maintain solar kits for rural and peri-urban households. These individual kits include solar panels, which are easy to install, along with batteries for storing energy. Payment can be made through the simple use of a mobile phone. Customers will therefore have access to lighting and will be able to power a suite of energy-efficient household appliances including television sets, radios, fans and mobile phone chargers.

Rolling out this initiative in West Africa will create thousands of new sustainable jobs (over 1000 jobs in Ivory Coast alone), from sales managers to call-centre employees, who will benefit from Off Grid Electric and EDF in-house training. Giving customers the option to use a renewable energy source like solar energy also benefits the environment by replacing candles, paraffin, and kerosene.

“We’re thrilled to partner with EDF, an industry leader whose presence in Africa, combined with its experience, will enable us to grow Off Grid Electric’s footprint across the continent,” said Bill Lenihan, President and CFO, Off Grid Electric. “Access to reliable energy is a challenge throughout Africa and our partnership with EDF will help us to meet this challenge. Through energy independence, we hope to see households and communities seize new opportunities.”

“Off Grid Electric is the perfect partner for EDF, with its excellent knowledge of the African continent and a proven track record of providing innovative and competitive solar solutions,” said Simone Rossi, EDF Group Senior Executive Vice President, International Division.

He also stressed that “EDF is delighted to partner with Off Grid Electric, thus enabling the latter to benefit from the Group’s extensive expertise in the area of customer relations. This will be an opportunity for us to share the experience we have gathered from supplying energy to more than 30 million customers worldwide, to the advantage of new customers in West Africa.”

Off Grid Electric received the UNFCCC’s Momentum for Change 2016 Award at The 22nd Conference of the Parties (COP22) held by the United Nations in Marrakech, Morocco. The Momentum for Change initiative is spearheaded by the UN Climate Change secretariat to shine a light on some of the most innovative, scalable and replicable examples of what people are doing to address climate change.

African Business Review’s November issue is now live.

Stay connected: follow @AfricaBizReview and @WedaeliABR on Twitter.

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What did she say about Egypt and Ethiopia?.. Britain announces its priorities in the continent of Africa in 2022
The British Minister for Africa, Vicky Ford, revealed on Tuesday the priorities of the British government towards the African continent during the next year 2022, during a speech at the Royal Institute of International Affairs "Chatham House" independent in London.
Africa Secretary Vicki Ford said: “It was very good to be here last week when the Secretary of State spoke.
I have made a massive call for the UK ’ s friends and allies to build a network of freedom together. ”
According to the official website of the British government.
“For like-minded democracies to work together, from a position of collective power, to forge closer links on economic, security and technological issues.
It leads the world into a new era of ideas, influence and inspiration.
By 2050, 1 in 4 people on the planet is expected to live on the continent of Africa – so Africa really matters.
To achieve our goals, the UK needs to invest and build long-term partnerships in Africa. ”
“I want those partnerships to go beyond African governments, to work with citizens, businesses, civil society – and all those who share our goals and values.
I want our African partnerships to have global support.
We must work together to tackle the biggest global challenges.
Our partners must include the African Union, as well as the United Nations, the Commonwealth, the World Bank and the International Monetary Fund.
I want to work together to support African countries.
And for our partnerships to deliver to British business and to the British people as well. ”
"The impact of the coronavirus epidemic has been felt in every country and in all walks of life.
African countries have suffered frighteningly, and last year the continent experienced its largest recession ever.
Another 32 million people have been pushed into extreme poverty.
More than 11 million girls may not return to school due to disruption caused by school closures.
Unfortunately, the discovery of the Omicron variant highlights that the coronavirus will remain a common threat in 2022 as well. ”
Vicki Ford praised the South African scientists, saying: “The South African and Southern African scientists deserve our profound gratitude for their leadership in quickly identifying and reporting on this alternative.
I am delighted that today we were able to remove eleven African countries from the UK travel red list following the advice of our scientists.
I know that the initial decision to restrict international travel has hurt individuals, businesses and the local economy in every country.
The Red List decision was not a decision we wanted to make.
“I ’ m really sorry that we had to make this decision – but it wasn ’ t done lightly, both decisions were based on objective advice from our Health Security Agency experts. ”
“As for the coronavirus epidemic, we know we are not safe until everyone is safe.
The UK is playing a key role in spreading more vaccines across Africa.
We are one of Kovacs ’ biggest donors, allocating £548 million, and this helps deliver more than 214 million doses to 44 African countries.
We have also provided £20 million to the African Union Response Fund, which supports the excellent work of Dr John Nkengasong [and the African Centres for Disease Control]. ”
“When I was in Senegal last month I visited the Pasteur Institute which, with the support of the UK government and the private sector, produces excellent rapid diagnostic tests.
“Our support from the UK for vaccine manufacturing in Senegal, South Africa and Morocco has spurred investment, which means we will see coronavirus vaccine production on the African continent in 2022. ”
“Long-term recovery from the coronavirus needs more than vaccines and health services support.
It also needs greater economic support.
So I ’ m also very pleased that, under the UK presidency, the G7 has pledged $80 billion in funding to Africa over five years to help unlock investment in fragile economies and support economic recovery from the coronavirus. ”
Africa Minister Vicki Ford said she wanted to see "as much progress as possible to strengthen relations between Britain and African countries."
These have been included among my top five priorities for 2022. ”
She revealed her five priorities for the coming year:
The first priority is to promote freedom and democracy because we know that free and democratic countries are more peaceful and more prosperous.
The peaceful democratic transition of power in Zambia, Cape Verde and Niger provides encouraging evidence of the flourishing of freedom and democracy in many African countries.
During my recent visit to Sudan, I saw how bumpy the road to freedom can be.
We should not consider that progress is irreversible and we must nurture and protect the gains that have been made. ”
“I want to maintain the UK ’ s strong record of supporting African partners and collaborating with the African Union to support democracy and good governance.
This includes encouraging the development of inclusive political institutions, free media and an active civil society.
I was following the work of the first independent British election observation mission led by the Westminster Foundation for Democracy, which was deployed to observe the elections in The Gambia this month.
I fully expect more to follow in their footsteps.
There is a long list of elections taking place in Africa in 2022, including in Kenya, Lesotho and South Sudan, and they are a major test of a functioning democracy.
In June, Britain will host the Safe to Be Me Global Equality Conference on LGBT rights.
The conference, to be held in London, aims to be a catalyst for change, create a platform to share best practices on tackling violence and discrimination, and highlight leadership from countries such as Angola, Botswana and South Africa.
We look forward to engaging with African partners in the run-up to the UK ’ s Freedom of Religion or Belief Conference in July. ”
She said she strongly believes in the “transformative ” power of trade, that it creates positive links between countries and can stimulate growth, jobs, opportunities and even freedom:“ We know that achieving economic growth needs investment – investing in business, investing in infrastructure and investing in people – especially in education and health.
Investing in African markets can pay off.
By 2040, African countries will have the largest youth population in the world.
With the right investments, young people can become Africa ’ s greatest resource and drive economic growth across the continent. ”
“We recently launched British International Investment, to create high-level, values-driven financing for clean and green infrastructure, aimed at leveraging our world-class assets in the City of London while supporting democratic countries to grow, ” she said.
In Dakar, the company partnered with DP World to develop and build a new world-class container port.
This is part of a £1.7 billion investment to modernise and expand three African ports – Dakar, Ain Sokhna and Berbera – which will create 5 million new jobs and increase trade for 35 million people. ”
“That is also why we welcomed the establishment of the African Union ’ s African Continental Free Trade Area, the world ’ s largest trading bloc.
When fully implemented, an African common market will have a GDP of $2.6 trillion, which will provide greater opportunities for African and British companies alike.
I think there are deals for British companies and the government is working to help find them.
At last year ’ s UK-Africa Investment Summit, we secured £15 billion in trade commitments. ”
Her third priority will be to make this economic growth clean and green and sustainable, she said: “This is part of our commitment to delivering services to the planet, implementing the agreements made at COP26.
We have made great progress, but Glasgow is only the beginning.
We still have 11 months to go before we hand over the flag to Egypt in November next year.
Every now and then, my focus will be on finding ways to help African countries turn the COP26 promises into concrete actions.
She continued that her fourth priority is “how to make the world and the UK safer by helping African countries become safer.
For example, we are working closely with the African Union and the Federal Government of Somalia, where the peace enforcement mission is working in partnership with the Somali security forces to promote stability.
“We are also working with the African Union in Ethiopia where the High Representative of the African Union for the Horn of Africa is leading the mediation efforts; and we support the Union ’ s position on Mali, Sudan and Chad.
We have expanded our diplomatic presence across the Sahel and are contributing 300 British troops to MINUSMA, the UN peacekeeping mission in Mali.
She continued that illegal immigration is a priority for the entire British government, while her last priority remains “what will make the biggest difference – empowering women and girls … We want to end FGM, the horrific use of sexual violence, including in wars. ”

What trends are emerging for African startups in 2022?

ZCG partnered with the Nigeria Sovereign Investment Authority to pursue sustainable infrastructure investments in sectors such as healthcare and renewable energy.

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Content: -- >
Wednesday, 22 November 2023 03: 06 GMT
ZCG and Nigeria Sovereign Investment Authority Announce Strategic Partnership
(MENAFN- AETOSWire) (BUSINESS WIRE) --Z Capital Group ("ZCG"), a leading private market asset management firm, and Nigeria Sovereign Investment Authority ("NSIA"), the body responsible for managing Nigeria's sovereign wealth fund, today announced a representative partnership in a joint venture to create a fund focused on infrastructure investments in Africa. signed a memorandum of understanding.
This strategic collaboration provides the opportunity to take advantage of the unique economic and financial opportunities currently thriving within the African continent.
Against the backdrop of Africa ’ s rapid economic development and growth, coupled with a growing population and increasing global influence, the partnership between ZCG and NSIA is poised to capitalise on the continent ’ s promising investment landscape.
NSIA brings in-depth expertise across key sectors, with a proven track record in implementing large-scale infrastructure projects in Africa through stakeholder relationships, relevant market insights, and strong pipelines for investment opportunities.
ZCG offers vital complementary capabilities to support the success of this strategic partnership through its strong asset management expertise and ability to implement a three-pronged investment approach across private equity, mergers and acquisitions, ZCG ’ s internal consulting partners, and innovative technology solutions.
This MoU indicates the commitment of both ZCG and NSIA to collaborate and combine strengths, contributing to the development of critical infrastructure projects across the African continent.
The joint venture will leverage each party ’ s unique capabilities and resources to meet the growing demand for sustainable and innovative infrastructure solutions within the continent.
Key points of the MOU include:
Strategic Partnership: The MoU establishes a strategic partnership between ZCG and NSIA, facilitating collaborative efforts in identifying, developing and implementing infrastructure projects in Africa.
The two parties share a common vision to contribute to the economic growth and social development of African economies through investments in critical infrastructure projects.
In line with NSIA ’ s core mission, the partnership aims to contribute to sustainable economic growth, foster innovation, and address key development challenges across the African continent.
Integration of expertise: The joint venture will benefit from the complementary expertise of NSIA and ZCG, combining technical expertise, project management skills and a deep understanding of the local context to deliver successful infrastructure solutions.
Commitment to Investment: Under this MoU, ZCG and NSIA will seek equity, debt and other blended financial instruments to invest in various sectors, including, but not limited to, healthcare, renewable energy, mobility, logistics, energy transition, climate adaptation infrastructure, digital and social infrastructure, climate-smart agriculture and green manufacturing.
Sustainable development: The joint venture will prioritize environmentally sustainable and socially responsible practices, in line with global standards and best practices to ensure long-term benefits.
ZCG and NSIA will pursue projects that achieve a scalable social and economic impact in Africa, while delivering attractive investment returns and diversification opportunities.
James Zenni, Founder, President and CEO of ZCG, said: “We are delighted to expand our long-standing relationship with NSIA through this unique partnership that will support our shared investment, social and economic goals. ”
“Given Africa ’ s rapid population expansion and growing cultural and political impact on a global scale, we see many attractive infrastructure investment opportunities across the continent.
We look forward to combining our investment, consulting and technology expertise with NSIA ’ s deep expertise in managing large-scale infrastructure projects across multiple sectors as well as pivotal relationships with stakeholders to identify and invest in assets that further drive economic development across the continent. ”
Amin Omar Sadik, Managing Director and Chief Executive Officer of NSIA, said: “NSIA is pleased to partner with ZCG on this joint venture that will enable us to pursue compelling investment opportunities in Africa. ”
“ZCG shares our vision to promote sustained economic growth and innovation across Africa.
ZCG also shares our focus on investments in climate adaptation infrastructure to meet the needs of current and future generations of Africans.
Together with ZCG, we can deepen existing investments to continue supporting Africans and play a leading role in driving sustainable social and economic development across Africa. ”
The partnership between ZCG and NSI represents an important step towards sustainable and impactful infrastructure investments in Africa, reflecting a shared commitment to economic development, innovation and climate resilience in the region.
This collaboration marks a pivotal moment showcasing NSIA as a preferred partner in leveraging opportunities aligned with the African continent ’ s momentum and upward trajectory in the global economic arena.
About ZCG
ZCG is a leading privately owned commercial bank consisting of private market asset management, business advisory services, technology development and solutions.
For nearly 30 years, ZCG managers have demonstrated acumen and solid experience in private equity, debt and credit.
ZCG has nearly $7 billion in assets under management in asset management, and its investors are among the largest and most sophisticated global institutional investors including pension funds, endowments, foundations, sovereign wealth funds, central banks and insurance companies.
ZCG has a global team of more than 400 professionals.
For more information, please visit.
About NSIA
Nigeria Sovereign Investment Authority is an investment institution of the Federal Republic of Nigeria, established under the Nigerian Sovereign Wealth Act (Incorporation Act 2011), to manage and invest in a diversified portfolio of medium and long term funds.
Its mission is to play a leading role in advancing sustainable economic development for the benefit of all Nigerians by building a savings base for the Nigerian people, promoting infrastructure development in Nigeria, and providing support for stabilization in times of economic stress.
NSIA manages three distinct funds, namely the Stabilization Fund, the Future Generation Fund, and the Nigerian Infrastructure Fund.
For more information, please visit.
Multiple images / media available on:
The original language text of this statement is the official version adopted.
The translation was provided for assistance only, and reference should be made to the original language text, which is the only version with legal effect.
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Which African countries are driving the venture capital ecosystem?

Which countries are preferred FDI destinations in Africa?

BANK OF AFRICA formed a strategic partnership with BANK OF PALESTINE focused on trade finance and correspondent banking to support SMEs and entrepreneurship.

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Content:
A Strategic Partnership Is Sealed Between BANK OF AFRICA And BANK OF PALESTINE

(MENAFN- Palestine News Network ) Casablanca / Ramallah / PNN /
BANK OF AFRICA and BANK OF PALESTINE (BOP) sealed, on this day of Tuesday, May 7, a multidimensional strategic partnership, driven by common values, shared between the two groups, namely Sustainable Development, financial inclusion and support for entrepreneurship. This partnership aims primarily to strengthen economic cooperation between Palestine and Morocco.

The result of exchanges of visits and discussions carried out both in Morocco and in Palestine, this partnership agreement provides for a cross-participation, on a symbolic basis, in the capital of each of the two banking establishments, through the acquisition of shares in the stock exchanges where these banking institutions are listed, in Casablanca and Nablus, respectively.
Beyond this symbolic participation, which begins with the acquisition of BANK OF PALESTINE shares by BANK OF AFRICA for approximately 1.2% of BANK OF PALESTINE's capital, the two groups have agreed to develop extensive banking cooperation, in particular, in Trade Finance and Correspondent Banking as well as to exchange their expertise in financing SMEs and supporting entrepreneurship and innovation.
This partnership also revolves around economic promotion aimed at boosting trade and investment flows between Morocco and Palestine, as well as cultural cooperation, in particular through the realization of joint projects highlighting the unwavering historical ties between Morocco and Palestine.
Mr. Othman BENJELLOUN, Chairman of BANK OF AFRICA commented on the partnership:“We are happy to conclude with Chairman Shawa of BANK OF PALESTINE, a multidimensional strategic partnership. Beyond its financial, economic and cultural scope, it is an institutional act of solidarity and confidence
in the future of Palestine as well as a contribution from BANK OF AFRICA, as a pan-African private operator with Moroccan roots, to forge a common economic destiny between the two nations”

For his part, Mr. Hashim Shawa, Chairman of the Bank of Palestine Group, stated:“We are proud of the evolution of our partnership with BANK OF AFRICA. This partnership is in line with our vision of regional expansion and our desire to attract institutional investors to BANK OF PALESTINE. We are grateful to the Chairman of BANK OF AFRICA and the Kingdom of Morocco for their foresight and proactive decision to cement this investment in BANK OF PALESTINE during these difficult times, thereby expressing a mark of confidence in the bank and in the economic future of Palestine.”

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Pipit Global partnered with Cellulant across 18 African countries to reduce remittance costs and expand B2B and B2C payment services.

Title:

Content: Cash Payments Platform Enters 12 New African Markets

International cash payments platform Pipit Global and pan-African payments company Cellulant have extended their partnership agreement to now include eighteen countries in Sub-Saharan Africa.

The partnership will see the companies providing both B2B and B2C payments services to existing and emergent financial institutions, eCommerce merchants, billers and billing platforms, mobile money providers and eWallets, digital financial service providers, and their customers.

Despite the Covid 19 pandemic, remittances into sub-Saharan Africa and intraregional SSA remittances have remained resilient.  According to figures from the World Bank there was a modest decline of 1.4% inflows into SSA in 2020 – this figure excludes the exceptional case of Nigeria where economic factors beyond the pandemic affected remittances significantly. And in 2021 remittances have bounced back to near pre-pandemic levels with a year-on-year increase of 6.2% for the region.

This resilience demonstrates the fundamental importance of diaspora remittances to sub-Saharan African countries, which exceed Foreign Direct Investment and portfolio flows, and are approaching the levels of Official Development Aid.

However, the cost of remittances into Africa and intra-African remittances remains a significant challenge, a burden on senders and receivers, and a barrier to development.

Sub-Saharan Africa continues to have the highest average international remittance costs at 8.2%.  Intraregional remittance costs are higher still, with, as an example, the cost of a remittance of $200 dollars between Tanzania and Uganda costing an exorbitant 23%.

Pipit’s and Cellulant’s partnership will see the development of ‘for-purpose’ remittances. Rather than the traditional model of peer-to-peer cash remittances, migrants will be able to make bill payments and e-commerce transactions directly to suppliers.  This model ensures that bills are paid, and removes the potential for ‘leakage’ – where remitted money may not be used for its intended purpose.  It also reduces the receiver risk associated with cash collection.  And, in line with the goal to reduce remittance costs, the direct-to-biller model applies fees significantly lower than traditional remittance prices resulting in meaningful savings for remittance senders and receivers.

Commenting on the partnership, Pipit Global CEO Ollie Walsh said: “Pipit Global was founded on the basis of promoting collaboration in the world of payments. Making cash a core element of the digital economy, whilst maintaining that cash economy and giving the ability to transition between the two, gives real parity and freedom, and ultimately creates the social impact that drives global development and equality.

“Our partnership with Cellulant will turn these development and equality goals and aspirations into tangible realities.”

The expansion into the new markets comes just 5 months after the two companies announced a partnership to enable remittances into Nigeria, Kenya, Uganda, Tanzania, Mali, Senegal, and Ghana at lower rates.

“At Cellulant, we see digital payments as a significant opportunity to create transformational change for businesses, households and economies at large, ” said David Waithaka, Cellulant’s Chief Business Officer for Enterprise.

Speaking to the partnership, he added “International and intraregional remittances are an engine for growth for many economies in Africa providing resilience to financial shocks and improving livelihoods. Enabling lower rates and powering for-purpose remittances for us is about the direct impact on people’s lives.”

Technology and digital payments have been identified as a driver in reducing transaction costs of remittances to less than 3% by 2030 as outlined in SDG 10 enabling reduced inequalities within and among countries.

Arab Contractors partnered with Merkons to establish Arab Contractors – Luanda for construction projects in Angola.

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Content: Establishment of a new company between Arab Contractors and Merkons in Angola
Within the framework of efforts to build bridges of cooperation with brotherly African countries and open the horizons of work for Egyptian contracting companies in Africa
Sherif Omar
4: 25 PM, Wednesday, 16 Aug 23
The contract of incorporation of “Arab Contractors – Luanda ” was signed as part of a partnership between Arab Contractors Othman Ahmed Othman & Co., and Merkons of Angola. The new company will be specialized in the implementation of various construction projects in Angola.
This comes within the framework of the efforts of the Ministry of Housing, Utilities and Urban Communities in building bridges of cooperation with brotherly African countries and opening work horizons for Egyptian contracting companies in all parts of the African continent.
Ahmed Al-Assar, Chairman of the Arab Contractors Company, said that the establishment of this new company is the culmination of the successful visit of Carlos Alberto, Minister of Public Works, Urban and Housing of Angola, to Cairo at the invitation of his Egyptian counterpart, Dr. Assem Al-Jazzar, Minister of Housing.
This was followed by the visit of the leaders of the Arab Contractors Company to Angola and the holding of several consultation sessions with the Angolan government bodies and local contracting companies.
In the same context, the cooperation is scheduled to be completed by the visit of Dr. Asim Al-Jazzar to Angola during the coming month to sign the cooperation protocol with the Ministry of Housing and Infrastructure in Angola, as agreed during the previous visit of the Angolan minister.

The Africa India Economic Foundation signed an MoU with the African Union and facilitated a $500 million credit line to eight West African countries to promote collaboration between MSMEs and the private sector.

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Content: Renowned trade organisation, Africa India Economic Foundation grants permanent membership to the African Union at the G20 Summit in New Delhi

By ANI | Published: September 14, 2023 04:48 PM2023-09-14T16:48:23+5:302023-09-14T16:50:03+5:30

SRV Media New Delhi [India], September 14: At the widely celebrated New Delhi-based G20 Summit, powered by the Presidency ...

SRV Media

New Delhi [India], September 14: At the widely celebrated New Delhi-based G20 Summit, powered by the Presidency of India, the prestigious trade and strategic business alliance organization AIEF (Africa India Economic Foundation) granted its coveted permanent membership to the African Union (AU), which is the renowned intergovernmental body consisting of around 55 African countries.

This new development among the trade organization and the Africa-wide government collective is a bold step forward in empowering the pan-African voices as well as that of the Global South in the context of a grand international meet such as the G20. Moreover, the granting of membership denotes a major initiative in bolstering the economic ties between all the countries and stakeholders involved. To elaborate on the importance of the partnership it suffices to say that it is the first collaboration of its kind between an Indian private body and the African Union. In addition, it is worth noting that following the African Union Summit declaration in 2020, AIEF also became the first Indian private entity to be recognized by the AU.

Further, the AIEF’s momentous decision to grant the African Union its well-regarded membership is preceded by an MoU signed between the organization in March 2023, a few months prior to the G20 Summit. The newly granted membership would further the objectives of the MoU signed at the African Union Headquarters in Ethiopia’s Addis Ababa, which was about forging alliances between the MSMEs, private and public sectors of the African countries, India, and other participating countries.

Elaborating further on the Council’s decision, G. Rathinavelu, Chairman and Co-Founder of the Africa India Economic Foundation, said, “The G20 Summit in New Delhi presents a unique opportunity to both India and the world to truly reunite towards working together for mutually beneficial goals. One of the unique objectives of the international meet was to bring together major international stakeholders, such as the members of the African Union, on the same stage shared by the leading economic superpowers of the world. At this opportune moment for international business, we are thrilled to have taken a step forward in cementing business ties between India and the African nations, thereby contributing to the national diplomatic goal of amplifying the presence of African countries in the international commercial arena. In fact, with the membership granted, we have yet again fulfilled the founding objective of AIEF, i.e., synergizing knowledge, trade, technology, and investment between the public and private sectors and MSMEs of India and the AU.”

Shedding light on the membership conferment, Siddhartha Srivastava Vice Chairman of the AIEF Governing council said, “Africa India Economic Foundation (AIEF ) is an institutional mechanism that would initiate and enhance the public, private sectors and MSME’s trade and commercial development worth billions of dollars between India and the countries of the AU.”

The Africa India Economic Foundation (AIEF), was founded by India’s G.Rathinavelu and the Republic of Senegal’s Dr. Pierre Atepa Goudiaby towards promoting collaborations between Indian and African MSMEs and public and private sectors. The organization played a key role in the successful TEAM-9 initiative of 2004, where India extended a $500 million credit line to eight West African countries. Also, over the years AIEF has facilitated technological and commercial partnerships, hosted events, and offered training programs while being instrumental in strengthening ties between India and West African nations.

In other words, in keeping with its track record of excellence in mediating crucial partnerships the Africa India Economic Foundation (AIEF) has made history by granting the African Union permanent membership at the G20 Summit. This significant step is set to not only enhance economic ties but also underscore AIEF's dedication to strengthening global cooperation, which the organization remains poised to continue promoting in the coming years as well.

For more information, please contact:

Email: aief@teamaief.com or aief@aief.info

Website: www.aief.info

(Disclaimer: The above press release has been provided by SRV Media.will not be responsible in any way for the content of the same)

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Which Asian countries are investing in Africa?

Which countries are actively investing in Africa besides China?

India
Europe, U.S. Japan, South Korea, India

The Global Africa Business Forum hosted 6,000 participants and 22 African presidents, facilitating over 1,150 bilateral investment meetings through Dubai Chamber.

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Content: 00: 00
Expo 2020 Dubai Today
The emirate ’ s non-oil trade with Africa is $50 billion by 2020
Hamad Buamim calls on African investors to take advantage of Expo to explore Dubai ’ s new potential
His Excellency Hamad Mubarak Buamim, Director General of Dubai Chamber, has called on African business leaders and investors to take full advantage of the Expo 2020 platform, explore a world of new possibilities in Dubai, and forge cross-border partnerships that will deliver shared benefits and economic growth.
Bouamim ’ s invitation came on the eve of the sixth edition of the Global Africa Business Forum, which will be organized by Dubai Chamber and Expo 2020 Dubai on 13 and 14 October.
“The World Africa Business Forum in Dubai is one of the most critical factors that have facilitated bilateral trade between the UAE and the African continent and investment flows between the two parties. Since the launch of this series of high-level events at the Dubai Chamber in 2013, Dubai ’ s non-oil trade with Africa has grown by more than 71% to more than US $50 billion in 2020, ” Buamim said.
“The sixth edition of the Global Africa Business Forum, scheduled to take place at Expo 2020 Dubai on 13-14 October 2021, comes at a time when UAE-Africa relations are growing rapidly, with the African Continental Free Trade Area (AfCFTA) and regional integration efforts gaining momentum. ”
“Over the last five editions of the World Africa Business Forum, the event has brought together more than 6,000 participants, 22 African presidents and 120 African ministers, holding more than 1,150 bilateral investment meetings, and the World Africa Business Forum in Dubai, a flagship series of Dubai Chamber events, has become a major catalyst for expanding trade ties and economic cooperation between Africa and the UAE. ”
“These high-level forums are the largest of their kind in the region, providing an ideal platform to showcase Africa ’ s economic potential in the world and build cross-border partnerships. ”
Commenting on the importance of the sixth edition of the forum, HE Hamad Mubarak Buamim said: “Participation in the World African Business Forum is more beneficial this year than ever, as the high-level forum is held on the sidelines of Expo 2020 Dubai, the first World Expo to be held in the Middle East, Africa and South Asia, and the largest event ever held in the Arab world. ”
“The event is also an unprecedented opportunity for African companies to forge cross-border partnerships and strengthen their global standing, and the timing is ideal for African companies to take advantage of the Global Africa Business Forum and Expo 2020 Dubai as platforms to explore new business opportunities, expand their global footprint and support cross-border partnerships that drive sustainable growth, ” he said.
Unique Opportunities
Commenting on the unique opportunities offered by the African continent compared to other global markets, H.E. Hamad Mubarak Buamim said: “There are many reasons why Africa is growing into a preferred market in the post-COVID-19 era.
First, Africa is expected to experience the strongest population growth in all regions of the world over the next 80 years.
Meanwhile, the continent ’ s middle class continues to grow, while a group of tech-savvy, brand-conscious young Africans are also expected to increase consumption over the coming decades; and, second, the African Continental Free Trade Area (AfCFTA), a historic agreement to create the world ’ s largest continental free trade area linking the continent ’ s 55 countries, has the potential to transform the continent ’ s economic potential.
Trade between Dubai and Africa could see an annual increase of up to 10 per cent over the next five years following the implementation of the African Continental Free Trade Area (AfCFTA) agreement, according to a recent forecast released by Dubai Chamber.
“African countries, previously heavily dependent on agriculture, are diversifying their economic activity beyond commodities, investing in innovation-focused sectors and start-ups that are driving the continent ’ s digital transformation.
Technology is rapidly finding its way into all aspects of African societies, and a lot of new and attractive market opportunities are emerging. ”
COMMERCIAL LINKS
Commenting on the potential for further trade links between Dubai and the African continent in the post-pandemic world, HE Hamad Mubarak Buamim, Director General of Dubai Chamber, said: “As a global business hub located close to the African continent, Dubai is an ideal partner, ideally positioned to unleash Africa ’ s untapped economic potential and support the continent ’ s next phase of development from sustainable agriculture to logistics, free zones, finance and advanced technologies. expertise and investment to bridge market gaps in Africa. ”
He pointed out that food security is another area of common interest, which offers many possibilities, as many African countries are major exporters of agricultural crops, while the UAE has a new strategy aimed at diversifying its food imports.
“There is huge potential to expand bilateral trade and investment to other areas and sectors of mutual interest, such as financial technology, artificial intelligence, digital transformation, blockchain and smart city solutions, ” he said.
“Dubai is strategically positioned as a thriving transit hub at the crossroads of Asia, Europe and Africa, making it an ideal market for African companies to relaunch their businesses and strengthen their global footprint as they seek to recover in the post-pandemic period.
Dubai has all the advantages and resources to support the future growth of the region, thanks to its proximity to African markets, its valuable expertise and its strong encouragement of foreign investment. ”
“I call on African business leaders and investors to take full advantage of the Expo 2020 platform, explore a world of new possibilities in Dubai, and forge cross-border partnerships that deliver shared benefits and economic growth, ” he said.
“Dubai Chamber ’ s representative offices are fully committed and ready to support African stakeholders who are keen to strengthen their presence in the Dubai market and take advantage of the emirate ’ s strategic location to expand their presence globally, from market intelligence to business matching and business creation support.
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Energy investment needs remain substantial, with Africa requiring $40–70 billion annually and greenfield upstream spending projected to reach $37 billion by 2025.

Nigeria is expected to account for 24% of African oil and gas projects by 2026, with over 100 projects in the pipeline and the 650,000 barrels per day Dangote Refinery commencing operations.

Title:

Content: Oil & Gas

Nigeria to account for 24% of oil gas projects in Africa

By Godwin Anyebe

Nigeria has been projected to account for about 24 per cent of the total projects starting up in Africa by 2026, with more than 100 oil and gas projects expected to commence in Nigeria during the forecast period.

According to reports shared by GlobalData, among the upcoming refinery projects in Nigeria, the Dangote Refinery, the largest individual refinery in Africa which is expected to kick off operations this year, is a key project with a total capacity of 650 thousand barrels per day, DailyTimes gathered.

Commenting on the data, oil & gas analyst at GlobalData, Teja Pappoppula said: “Nigeria is mainly investing in oil & gas production, storage, and refinery projects over the next five years. These upcoming projects would boost Nigeria’s economy and help the country to transform from an importer to an exporter of refined products, especially to neighbouring countries.”

READ ALSO: Chris D’Agostino announces 4th of July giveaway…

“Midstream projects account for around 28 per cent of all oil and gas projects in Nigeria by 2026. Gas processing projects constitute the bulk of upcoming midstream projects with ANOH-Seplat, ANOH-SPDC, and Brass being the key projects with a capacity of 300 million cubic feet per day each.

“The country is also making significant investments in natural gas processing, pipelines, and liquefaction projects to reduce its dependence on oil, which currently drives the majority of revenue in the country.”

With Nigeria leading the upcoming projects’ landscape, and Egypt following closely behind, other countries in the African oil and gas projects market include Algeria, Angola, Ghana, Morocco, South Africa, Mozambique, Libya, Tunisia, Uganda, Congo Republic, Tanzania, Equatorial Guinea, Cameroon, Senegal, Cote d’Ivoire, Kenya, Niger, Ethiopia, Gabon, Guinea, Botswana, Zimbabwe, Mauritania, Chad, Sudan, Djibouti, South Sudan, Benin, Namibia, Madagascar, Liberia, Rwanda, Sierra Leone, and Somalia.

Key sectors in the African oil and gas projects market are upstream (fields), midstream, downstream (refineries), and petrochemicals. Midstream has the highest number of projects followed by upstream.

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Which countries are preferred FDI destinations in Africa?

Africa’s geothermal capacity is projected to double by 2050, attracting $35 billion in investment, with Kenya and Ethiopia accounting for 90% of capacity and Kenya expected to surpass 8 GW by 2050.

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Content: With Kenya and Ethiopia in the lead, increased investment in the geothermal sector will double Africa’s geothermal capacity by 2050 and see the continent exceed the total installed capacity in Europe, according to a recent report.

This story was contributed to TechCabal by Bonface Orucho via bird story agency.

The latest report from Norwegian energy research firm Rystad Energy sheds light on the prospects of geothermal energy to play a crucial role in meeting Africa’s increasing energy demands in the coming decades.

“This growth will take the continent from being the sixth largest geothermal power generator in 2023 to the third largest in 2030,” Daniel Holmedal, a senior supply chain analyst at Rystad Energy, said of the region’s current geothermal trajectory.

“Developments that we project to come online given economics and demand really highlight the rapid buildout.”

The forecast anticipates that investments in Africa’s geothermal sector will soar to at least US$35 billion between 2024 and 2050, driven by the surging energy demand in East Africa.

Kenya and Ethiopia are poised to spearhead this growth, contributing nearly 90% of the total capacity. Their abundant geothermal resources and Ethiopia’s need to diversify its power sector, which is 88% hydro-based, will be the driving factors behind the expansion of geothermal installations in this sector, according to the report.

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Power supply in both countries is expected to increase sixfold from 2023 to 2050, surging from 34 terawatt-hours (TWh) to 222 TWh. Rystad Energy projects that the geothermal capacity in Kenya and Ethiopia will soar well beyond 10 GW by 2050, with the potential to reach as high as 12 GW.

Given its abundant geothermal resources, robust local expertise, and growing interest from international players, it is foreseeable that Kenya’s share of this total will surpass 8 GW in the projected period.

Recent developments in both countries affirm the report’s projections, emphasizing the substantial potential for these nations and the wider region to integrate geothermal energy into their energy mix.

With close to 1000 MW already installed, Kenya ranks as the 8th largest geothermal power producer globally and has more geothermal power capacity under construction than any other country, globally.

With an ambitious plan to double the current capacity by 2030, the Kenyan government is actively working to establish solid frameworks to support and fast-track the achievement of these targets.

In the latest development, legislators in Kenya directed the national utility, Kenya Power, to terminate a deal with Africa Geothermal International due to “continued delays in starting exploration of geothermal power on an allocated block.”

This termination will leave KenGen free to directly explore additional blocks in Olkaria, where 34 wells, including 26 production wells and 8 injection wells, with a tipped generation capacity of more than 1100 MW, are yet to be exploited, as reported by the country’s Business Daily.

Exploration and development activity is underway, too, at other geothermal sites in Kenya. In August, the Baringo-Silali Geothermal Project successfully drilled a new well, the Paka Well 8-A, adding 20 MW of electricity to the national grid.

More such explorations and rollouts can be expected, especially now that Kenya has secured a US$48 million (45 million euros) loan from Germany for the development and upgrade of geothermal wells in the country.

There is also a noticeable surge in geothermal activity in Ethiopia, which has the potential to generate at least 10 GW of energy from geothermal sources.

In September, the Ethiopian Electric Power (EEP) Geothermal Sector Development Project Directorate announced the successful completion of production tests for six geothermal wells for the 35 MW phase 1 of the Aluto Langano project. The project plans to generate 70 MW in two phases.

Earlier that same month, Canada-based 4th Resource signed a memorandum of understanding with Ethiopia Investment Holdings (EIH), the strategic investment arm of the Government of Ethiopia, for the development of the Hermokale geothermal project. These are among the 24 sites that the Ethiopian Geological Survey discovered in 2018 as potential geothermal drilling sites.

Interest in harnessing geothermal energy resources is also growing in African countries situated along the same East African Rift System currently being tapped by Ethiopia and Kenya. These countries include Tanzania, Burundi, Rwanda, Uganda, Kenya, Ethiopia, Djibouti, and Eritrea.

In Tanzania, 50 sites have been earmarked as potential locations to generate geothermal electricity. Kenya’s electricity generating company, KenGen, is leveraging its expertise and technical know-how to explore drilling opportunities in Tanzania and Malawi. According to The East African, KenGen already operates drilling sites in Ethiopia and Djibouti.

Kiiza Hussein, a creative consultant at UNDP, underscores the significance of international collaboration and knowledge sharing in accelerating exploration and rollouts.

“African nations can leverage partnerships with countries, organizations, and institutions that have expertise in renewable energy to accelerate their own development,” he explains.

“African countries can also allocate resources to research initiatives that focus on adapting and optimizing technologies to their specific climatic and geographic conditions,” he adds.

According to the United Nations Environment Program and the Infrastructure Consortium, the geothermal potential capacity for eastern Africa exceeds 20 GW, highlighting the considerable opportunities that lie ahead in the region for geothermal energy.

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Useful link: https://www.rystadenergy.com/news/africa-overtake-europe-geothermal-capacity

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Which African countries are driving the venture capital ecosystem?

Green hydrogen represents a major opportunity, with potential for Africa to produce 10% of the world’s green hydrogen by 2030.

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Content:
The Challenge: Building Capacity For Africa’S Renewables Sector (By NJ Ayuk)

(MENAFN- African Press Organization)
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By NJ Ayuk, Executive Chairman, African Energy Chamber ( )

Consider this paradox: Nigeria has achieved the largest economy in Sub-Saharan Africa, but 45%, or about 85 million, of its residents still live without electricity. Across Sub-Saharan Africa, that figure looms to 600 million.

I believe renewable energy is part of the solution to this dilemma - both in Nigeria and throughout the sub-continent. But there are several hurdles to be cleared before wind, solar, hydrogen, and other clean energy sources can provide the same economic benefits that natural gas - the other part of the solution - already offers. One of those hurdles will be preparing domestic workforces for employment and leadership in the growing renewable energy sector.

We are seeing movement in that direction. In Nigeria, for example, global renewables-promoting nonprofit, RMI, is providing technical training in partnership with four Nigerian energy distribution companies, two developers, and vocational training schools such as RMI's Energy Transition Academy and the Lagos Energy Academy. Aimed at producing leaders and energy entrepreneurs, the Nigerian Cohort of RMI's Global Fellowship Program, started in 2022, uses online learning and in-person experiences to develop leaders who know how to produce and employ solar PV, battery storage, and microgrid technologies.

We will need many, many more efforts like this for Africans to fully reap the economic benefits of our energy transition. For that to happen, more investment capital must be attracted for curriculum development, to support training efforts, and to help fledgling renewable businesses find their footing.

This is a critical topic, one that deserves attention at the 2023 United Nations Climate Change Conference (COP28) that is now underway and beyond.

Africa Must be Proactive in Building Capacity

The International Energy Agency (IEA) has predicted that 4 million new renewable energy jobs will be needed in sub-Saharan Africa by 2030 to meet 2050 net-zero goals. But it is not a given that those positions will be filled by Africans, especially if we rush forward with our transition from fossil fuels to renewables, as many wealthy nations and environmental groups are demanding.

Currently, there is a significant shortage of qualified human resources - people educated and prepared to take advantage of the opportunities for employment and entrepreneurship that renewables offer.

What's more, only 76,000 renewable energy jobs have been created in Africa, less than 1% of 10.3 million globally. That means the vast majority of Africans have absolutely no experience, or hands-on opportunities to develop skills, in green energy.

Education is Key

Turning this situation around begins with investing in and emphasizing the importance of science, technology, engineering, and math (STEM) education at all levels in Africa.

African governments will need to do their part by driving improvements in all-around education in science and technology and green energy vocational programs.

Government policies should also provide advantages to attract private-sector visionaries and incentivize public-private collaborations that foster the education and training of Africans for career-level, leadership positions in the renewables sectors.

Africa's renewable energy sector is growing. That reality is a mixed blessing because of the shortage of homegrown, trained professionals able to create, construct, and run renewable projects. We do, however, have an advantage - our large, youthful demographic.

Many of our young people need jobs, and many more soon will. If we can put together partnerships among governments, learning facilities, and private industry, we can train our youth for careers in renewable technologies that offer them brighter futures.

We should be building on the examples of the promising educational opportunities that are available for African students who want to build a career in renewable energy. Here is a sampling:

  • A German-African partnership , the Atlas of Green Hydrogen Generation Potentials in Africa, states,“Green hydrogen offers a real chance to launch a development in Africa which is driven by African countries themselves.” As part of the effort, a master's degree program in green hydrogen technologies was begun in 2021. Students from all 15 countries of the Economic Community of West African States (ECOWAS) may apply. Universities in Cote d'Ivoire, Niger, Senegal, and Togo host the program.
  • Another German government initiative , Green People's Energy for Africa,“supports vocation training institutes and technical universities to offer new and improved practical training modules for professionals” as well as other methods for skills development in renewable energy technology.
  • An EU-US cooperative agreement supports sub-Saharan Africa's just transition to green energy. Working at the regional and national levels, efforts include empowerment of women in the sector, knowledge sharing to provide technical assistance, and the leveraging of investments by the private sector.

Another Opportunity: Green Hydrogen

Surveying the renewables horizon, there is general agreement that decarbonizing all the world's economic sectors won't be possible without the use of green hydrogen - for feedstock, fuel cell technology, and electric vehicles.

The demand for this clean and adaptable fuel, produced with renewable energy sources, compounds the need for a trained renewable energy workforce.

Green hydrogen presents both a large opportunity and a large challenge for African nations. With its massive area and plentiful solar and wind resources, Africa could potentially be producing about 10% of the world's green hydrogen by 2030. But there is an“if” attached to that projection.

If African states strategize and invest now to develop a green hydrogen workforce, they can be r eady for the coming wave of green hydrogen development and utilization. Hydrogen learning opportunities should be made available from the high school level upward as part of comprehensive skills plans for developing a prepared workforce.

With forethought and smart implementation, young Africans can be readied to lead the way in bringing the benefits of green hydrogen to their communities. In the process, job shortages can be mitigated as these young employees put their skills to work in the production, storage, and transportation of green hydrogen.

More African countries should be taking measures to ensure their people and businesses capitalize on green energy opportunities. And these must not stop with education and skills training; we also need local content measures to help ensure our residents benefit from renewable power projects and facilities operations.

Ensuring Strong Local Content Policies

Just as local content rules continue to function as vital safeguards in African oil and gas operations, they will be tremendously important in the renewables sector, both for individuals and for businesses. As I've stated in the past, every nation needs to create a framework that empowers indigenous companies to fully capitalize on renewable energy opportunities.

There are times when power needs may justify temporary modifications to these policies. As an example, South Africa's National Energy Crisis Committee (NECOM), early this year, relaxed its local content rules for the construction of solar modules. Easing local employment requirements from 100% to 30% for local component production is meant to facilitate quicker deployment of solar projects, and hopefully, help alleviate the country's crippling power outages.

Power supply levels and other factors show the need to perform a balancing act when writing local content rules. Those other factors include the supply of current local skilled workers and infrastructure. We don't want to discourage developers, so we need appropriate, tailored local content regulations.

One reasonable approach is the one taken by Kenya, where guidelines requiring contractors to formulate a local content plan have been drafted. These plans must include training, succession, jobs, technology transfer, R&D, legal, financial, and insurance issues. This approach places the“ball” in the“court” of each project's contractor, allowing for their input in local content formulation.

A similar policy has been enacted in Nigeria. The local content policy is part of the government's Electricity Act 2023. It requires the Nigerian Electricity Regulatory Commission (NERC) to provide for local content participation involving employment, production, and assembly of components for solar PV, deep cycle batteries, and the electro-mechanical parts of SHP technology, wind boilers, and some turbines.

The act goes further, requiring contractors, sub-contractors, and licensees involved in renewable energy to include local content in all their related activities.

If widely enacted across the continent, similar local content rules can work hand-in-hand with training efforts to ensure Africans benefit from renewable energy development - through employment and the growth of their economies.

We are seeing promising movement in the effort to address Africa's skills gap, but we need many more programs, and we need them now. African countries and energy industry stakeholders should be doing everything possible to support these efforts, so Africans don't miss out on renewable energy industry opportunities.

Distributed by APO Group on behalf of African Energy Chamber.

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Africa houses about 30% of the world’s critical-mineral reserves, underscoring its pivotal role in future supply chains and the case for investing in local value addition.

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Content: Atlantic Council’s Africa Centre Unveils Revolutionary Critical Minerals Initiative at Mining Indaba

The Africa Centre of the Atlantic Council is embarking on an innovative three-year programme dedicated to critical minerals in Africa. With Africa housing 30% of the world’s critical-mineral reserves, the continent assumes a pivotal role in twenty-first-century supply chains, especially for electric vehicles, lithium batteries, cellphones, medical scanners, and military hardware.

The inaugural phase of the critical-minerals initiative unfolds with the establishment of a twelve-person task force. This distinguished group, representing US, European, and African stakeholders, as well as officials from the financial sector, development institutions, and government, convened at Mining Indaba, the foremost mining event on the African continent. The task force, set to regularly convene in Washington, DC, will delve into the multifaceted role and potential of African minerals across critical supply chains. Their agenda encompasses strategies to enhance the involvement of African nations and suppliers and to catalyse private sector engagement.

Supported by the Aiteo Group, the critical-minerals program aims to underscore the surging demand for resources in African markets, emphasising the necessity to invest in local value chains and create value and jobs within the industry on the continent. The task force’s primary objective is to guide investors in addressing supply-chain gaps, offering practical solutions grounded in successful policy and investment endeavours.

In addition to addressing supply-chain challenges, the group will furnish foreign investors with policy recommendations, fostering a favourable business environment in Africa. The task force envisions becoming a platform for advocacy through thought leadership on crucial aspects such as policies and regulations, incentives, property rights, local processing and value chains, regional cooperation and innovation, and technological environments. This comprehensive effort will also encompass policy research and strategic analysis.

Atlantic Council’s Africa Centre’s Senior Director Rama Yade expressed enthusiasm about Africa’s pivotal role in supplying critical minerals for the global economy. She stated, “We look forward to convening policymakers and stakeholders at the highest levels to chart a path forward for this vital industry on the African continent.” The critical-minerals program is poised to be a beacon for collaborative efforts, facilitating sustainable growth and development within Africa’s critical minerals sector.

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Content: South Africa supports calls for global co-operation to boost trade and address economic challenges and climate change

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Johannesburg, South Africa – 23 January 2023: The 53rd Annual Meeting of the World Economic Forum (WEF) in Davos, Switzerland, concluded on Friday, 20 January 2023. World leaders and corporate executives expressed hope that the looming recession facing the global economy could be avoided if countries collaborated to boost global trade and investment.

A high-level South African government and business delegation has returned home from the meeting more upbeat than before that the current economic slowdown and rising inflation could be resolved if nations addressed global supply disruptions that are leading to commodity shortages and driving up energy and food prices.

The delegation was led by Minister of Finance, Enoch Godongwana, who was accompanied by leaders of South Africa’s major corporations operating in various sectors of the economy. The delegation also included Minister of Trade, Industry and Competition, Ebrahim Patel; Minister of International Relations and Cooperation, Naledi Pandor; and Minister of Human Settlements, Mmamoloko Kubayi.

This year’s WEF Annual Meeting was held under the theme “Cooperation in a Fragmented World” and covered many interconnected topics including the impact of the ongoing Russia-Ukraine war on the commodity markets, skyrocketing cost of living caused by rising inflation and monetary policy tightening by central banks, climate change, and the growing impact of artificial intelligence (AI) on workplaces and labour markets.

“The South African delegation did a fantastic job in Davos where it sold our country to global investors as a favourable market to do business and invest in. Notwithstanding the energy supply constraints that our country is currently grappling with, South Africa remains an attractive investment destination given its excellent infrastructure, sophisticated financial markets, and a skilled workforce,” says Sithembile Ntombela, Acting CEO of Brand South Africa.

The South African government is currently implementing structural reforms that have opened the energy sector to private investment to boost energy generation and bring an end to load-shedding that is constraining the economy.

“The structural reforms that are currently being implemented by the government are making progress in removing investment bottlenecks and reducing the cost of doing business. These reforms will enable South Africa, a preferred destination by local investors and global multinationals looking to expand across Africa, to take advantage of the opportunities presented by the African Continental Free Trade Area (AfCFTA),” says Ntombela.

The AfCFTA, which officially launched in 2021, will create the world’s largest free trade area, stimulate intra-African trade, develop regional value chains, and promote industrialisation across the continent.

The AfCFTA Secretariat and WEF revealed in a report unveiled at this year’s Davos meeting that AfCFTA is projected to create single market that will grow to 1.7 billion people and $6.7 trillion in consumer and business spending by 2030.

By 2050, the continent is estimated to be home to 2.5 billion people and a market with a combined business and consumer spending of $16.12 trillion.

The report titled “A New Era for Global Business and Investment in Africa” lists four high-potential sectors that hold lucrative opportunities for companies looking to invest in Africa.

These sectors are automotive, agriculture and agro-processing, pharmaceuticals, and transport and logistics, which are all expected to see rapid growth in terms of production and trade volumes under AfCFTA.

“Given that South Africa is the most industrialised and sophisticated economy in Africa, it is well positioned to take advantage of opportunities presented by AfCFTA. The development of the free trade area will require massive investment in logistics and telecommunications infrastructure to reduce the cost of doing business and enable free movement of people, goods and services,” explains Ntombela.

With the green energy transition and digital transition in full motion around the world, the delegation that represented South Africa at WEF2023 expressed support for calls to reskill and upskill workforces, particularly the youth, to prepare them for future workplaces and to mitigate job losses.

The delegation is impressed by the progress made by the WEF’s Reskilling Revolution; an initiative launched in 2020 to empower 1 billion people. So far, the initiative has reached 350 million people.

Climate change also took centre stage at WEF with world leaders and business executives committing themselves to supporting the implementation of the Paris Agreement, which calls on all countries to cut carbon emissions to limit global warming to around 1.5 degrees celsius and strive towards attaining net zero emissions by 2050.

This commitment requires countries and businesses to move away from using fossil fuel energy sources like coal and crude oil and adopting clean and environmentally friendly energy sources such as wind and solar power.

The launch of the new Coalition of Trade Ministers on Climate, which brings together over 50 countries, was also a highlight of this year’s  WEF annual meeting.

The coalition aims to tackle climate change by promoting trade and investment that encourages adoption of goods, services, and technologies that mitigate climate change in both developed and developing countries.

“However, the global challenges that were highlighted at WEF 2023 cannot be resolved in a fragmented world in which countries are pulling in different directions. These challenges require collaboration and unity by the nations of the world, where counties are working together to find solutions in an integrated global economy,” concludes Ntombela.

Ends/////

Issued by Brand South Africa

Notes to the Editor

Contact: Phindi Mathebula

Email:phindilem@brandsouthafrica.com

Mobile number: +27 64 890 7414

About Brand South Africa

Brand South Africa is the official marketing agency of South Africa, with a mandate to build the country’s brand reputation, to improve its global competitiveness. Its aim is also to build pride and patriotism among South Africans, to contribute to social cohesion and nation brand ambassadorship.

This electronic communication and the attached file(s) are subject to a disclaimer which can be viewed at https://www.brandsouthafrica.com/terms-and-conditions . If you are unable to view the disclaimer, please email info@brandsouthafrica.com for a copy.

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