Why should you be investing in Africa right now?
Even before considering the geopolitical issues in other parts of the world, you should know there are several reasons supported by solid economic evidence. Whether it be the European energy crisis because of the Ukraine war, not adopting modern portfolio theory for investing – ‘don’t put all your eggs in one basket’, or the new shining light in banana economics – the UK – where some well-regarded investors are lumping them into the emerging market universe.
Are the ‘developed market regions’ providing better investment opportunities, or are we blinded by traditional investment strategies that keep us ignorant toward finding the best opportunities for investors?
It may not be a case of either/or but rather, it could be the case of not knowing enough about this region to provide diversification to our members.
Investors are seeking progressive investment to stand the test of time, that can respond more effectively to complex challenges we face now and into the future. Africa has found some key solutions through the combination of mobile connectivity, financial inclusion, data and blue economy investments.
Data is a currency of its own in the modern world. In the past only the few had the ability to access, extract, refine and utilise it, thereby widening the existing inequality gap. Yet in the past few years, Africa’s fintech industry has come of age with the continent experiencing a fintech eruption.
In the face of political and economic challenges and a global pandemic, fintech on the continent is booming, with revenue between $4b – $6b in 2020 and between 2020 and 2021, the number of tech start-ups in Africa. Cash is still used in around 90 percent of retail transactions in Africa, which means that fintech has huge potential to grow.
Further to this, the concept of Blue Economy (BE) that includes simultaneous promotion of economic growth, environmental sustainability, social inclusion and strengthening of ocean ecosystem has seen immense growth in Africa, where components today generate a value of USD 296 billion.
This investment sector is projected to grow to USD 405 billion (37%) by 2030, while in 2063 estimates value created would be USD 576 billion (Global Climate Change Alliance). With 19 of the fastest growing countries in the world being in Africa, due to its rapid urbanisation and a large young, educated population driving the demand for online services and a bluer economy due to detrimental climate impacts, there are significant opportunities.
Wealth of Nations will be hosting a panel of those that live and breathe Africa, the pioneers that have observed the trends and are leaning into the opportunities. They want to share with you in an open forum, what they have seen, what they are doing, and importantly, how you can engage. Whether interested in private debt, infrastructure or private equity, or just to hear the story, there will be key take aways for you.
Please join this panel discussion with Blakeney Management, Climate Fund Manager and Lendable who are impact managers on the ground, to understand how they adapt and create a system which can evolve, learn, and respond more effectively to complex challenges we face now and in the future. The impact managers along with a guest speaker from Equity Bank in Kenya, will provide you with the opportunity that is present in Africa and why inclusivity and investment in this region is the next great investment.
Africa is thinking big on digital transformation and climate action and the time for growth is NOW!
So book your spot now, to learn from leaders and long-term investors in this region and see how you can be part of this outstanding opportunity
