A great deal has changed since The Economist labelled Africa as “the Hopeless Continent” 10 years ago.
Over the past decade, six of the world’s 10 fastest-growing countries were African; emerging economies in the East and West of Africa indicate a 6% to 7% economic growth trajectory. In eight of the past 10 years, Africa has grown faster than East Asia, including Japan.
Only about one-third of the growth can be attributed to resources – Ethiopia (once synonymous with poverty) is now the world’s 10th largest producer of livestock. In fact, East Africa is the fastest growing region on the continent, despite their limited oil and mineral resources.
Most notably, Nigeria and Kenya remain two of Africa’s most robust economies. As the new gateways to emerging markets within their respective regions, Frost & Sullivan believes these two countries possess numerous domestic market opportunities across various industries.
“Economic conditions in sub-Saharan Africa have remained generally vigorous against the backdrop of a sluggish global economy. Africa’s growth is not fuelled purely by resources anymore.
“Nigeria and Kenya are leading the way in West and East Africa to be the next frontiers of growth. A multitude of opportunities are presenting themselves across industries from life sciences, oil and gas, infrastructure, agriculture, energy and ICT,” says Frost & Sullivan’s operations manager for Africa, Mani James.
Cornelis van der Waal, business unit leader for energy and environment for Africa at Frost & Sullivan, adds that Africa is the next growth frontier with predictions of East and West Africa being the next growth pillars.
“Despite the low base, the growth experienced by the continent is attractive and it appears to be more sustainable than in the past,” he says. “Challenges exist across the various sectors, however, business models and solutions are rapidly changing to tap into these attractive opportunities.
“There are many examples of how organisations have adapted to this change with tremendous success. The paradigm is, indeed, shifting from ‘should we invest in Africa’ to ‘managing the risk of not investing in Africa’.”
Over the past decade, six of the world’s 10 fastest-growing countries were African; emerging economies in the East and West of Africa indicate a 6% to 7% economic growth trajectory. In eight of the past 10 years, Africa has grown faster than East Asia, including Japan.
Only about one-third of the growth can be attributed to resources – Ethiopia (once synonymous with poverty) is now the world’s 10th largest producer of livestock. In fact, East Africa is the fastest growing region on the continent, despite their limited oil and mineral resources.
Most notably, Nigeria and Kenya remain two of Africa’s most robust economies. As the new gateways to emerging markets within their respective regions, Frost & Sullivan believes these two countries possess numerous domestic market opportunities across various industries.
“Economic conditions in sub-Saharan Africa have remained generally vigorous against the backdrop of a sluggish global economy. Africa’s growth is not fuelled purely by resources anymore.
“Nigeria and Kenya are leading the way in West and East Africa to be the next frontiers of growth. A multitude of opportunities are presenting themselves across industries from life sciences, oil and gas, infrastructure, agriculture, energy and ICT,” says Frost & Sullivan’s operations manager for Africa, Mani James.
Cornelis van der Waal, business unit leader for energy and environment for Africa at Frost & Sullivan, adds that Africa is the next growth frontier with predictions of East and West Africa being the next growth pillars.
“Despite the low base, the growth experienced by the continent is attractive and it appears to be more sustainable than in the past,” he says. “Challenges exist across the various sectors, however, business models and solutions are rapidly changing to tap into these attractive opportunities.
“There are many examples of how organisations have adapted to this change with tremendous success. The paradigm is, indeed, shifting from ‘should we invest in Africa’ to ‘managing the risk of not investing in Africa’.”