You might wonder why most wealthy individuals consider African countries for business investment. The tremendous economy of African countries and the benefits investors and business partners derive from their investments make them choose African countries over and over again.
All You Need to Know About African Countries for Business Investment and Expansion
Businesses in African countries will in one way or the other boom, considering the population and the GDP. The record has it that most African companies earn over $1 billion annually. So tell me, why won’t rich individuals want to have a share in such a huge profit?
Africa’s fast-growing population and markets present opportunities for business growth. These businesses often meet the demands of the African people in terms of goods and services.
The erection of business companies and infrastructure helps fill the gap of poverty by providing job opportunities for African citizens. However, not all African countries are this business-friendly. There are some leading African countries for business investment.
This article is set to take you through the runway of some top African countries for business investment and expansion.
Top African Countries for Business Investment and Expansion
It might baffle you why Nigeria tops the list of African countries for business investment. If we decide to shove down socio-political vices, are you aware that Nigeria is a great country? Haven’t you ever wondered why Nigeria is regarded as the giant of Africa?
We have a lot of successful Nigerian business tycoons whose businesses started and earned a name in Nigeria. A good example is Dangote, Otedola, and Mike Adenuga amongst others. Also, there are other business owners or companies who have branches in Nigeria and are making cool money. This makes Nigeria one of the best African countries for business investment.
Besides, we have the likes of multi-choice, ShopRite and even MTN telecommunication network providers. If you can attribute business success to these business gurus. Then it will be right to rank Nigeria as one of the African countries for business investment and expansion.
Egypt is also one of the African countries for business investment and expansion. It ranks as the second-highest GDP in Africa at $394 billion. The country’s economy gets its growth and increase from agriculture, natural gas, media, petroleum importation and tourism.
Since the 2011 revolution and subsequent political turmoil, Egypt’s economy experienced massive improvement between 2016 and 2019. With the implementation of an IMF-backed reform programme, stability has been restored to their macroeconomics. This liberalises the currency and improves the investor’s confidence.
Are you also aware Egypt is the third United Kingdom’s largest export market? This is a result of their economical historical and political history with Great Britain. Moreover, this makes Egypt stand out amongst the African countries for business investment. Today, Egypt is a member of the world trade organization (WTO).
South Africa serves as the headquarters for multi-choice and other companies. It is one of the African countries for the business investment you cannot outrun. Moreover, If the companies were not booming, there wouldn’t be room for expansion to other neighbouring African countries.
This is enough proof that South Africa is one of the top African countries for business investment. South Africa is a member of the BRICs group which consists of Brazil, Russia, India and China. These countries have great and high increasing spending power. The South African government has taken it upon itself to ensure that the country meets specific investment and trade requirements of potential business investors.
Similar to Egypt, South Africa is popular for its various natural beauty and topography which makes it a tourist destination. Her economy is stable and sustained by its tourist industry, agriculture and mineral resources which is the world’s major demand for oil exploration.
Moreso, South Africa is favourable for business destinations. It has several seaports and entry points to reach more potential markets within the continent such as India, the Gulf States, South America, Central America and the Far East and South Asia.
Algeria, with a population of over 43.85 million and a GDP of about $151.46 billion as of 2021 ranks 157 of 190 countries on the World Bank’s Ease of Doing Business index. It is one of the greatest African countries for business investment. With a recent law encouraging foreign investments, Algeria offers business opportunities to investors.
Apart from the great cuisine and vibrant cultural practice, Morocco is also business-friendly which makes it one of the African countries for business Investment.
Records have it that Morocco is the 5th largest economy by GDP on the African continent. According to Statista, Morocco’s GDP stood at $124 billion as of 2021.
Its economic growth is determined by Agriculture, investments, government, and the housing sector. Morocco’s economy is liberal and driven by the law of demand. Due to its operating environment, it serves as a favourable business hub with various business platforms from which European countries can access the African market.
From 2011 to 2019, Morocco ranks from the 114th place to the 60th place in the world bank ease of doing business. This indicates sustained improvements to the business climate making it a leading country amongst other African countries for business investment.
Out of all the countries in Central and Eastern Africa, Kenya has the most advanced economy. From the World Bank’s forecast, Kenya’s resilient economy can grow by 4.9 by the end of 2022. This is a result of sound economic policies, management, and diversified sources.
As of 2021, trading economics projects that Kenya’s GDP has increased from $107 billion to $110 billion. Kenya is blessed with a favourable business environment with high demand for goods and services. This makes it one of the most favourable African countries for business investment.
According to the world bank, Kenya earns the world’s best performers in the areas of getting Credit and starting a business. In just two years, the country moved 31 spots in the overall doing business ranking.
Ghana is a part of the African countries for business investment and expansion. Its business has been on a high increase since the smooth transition of government to Nana Akufo-Addo in 2016. Ghana promotes the growth of the private sector to restore the non-oil and non-agricultural sectors.
Oil, gold and cocoa are commodities that have been the mainstay of Ghana’s $47 billion economies. To ease importation, Ghana employs the use of paperless customs clearance processing systems. This gives an easy and smooth flow of international transactions across the globe. Owing to this, Ghana ranks as one of the top African countries for business investment and expansion.
This article explains the top 7 African countries for business investment. However, the expansion of business is not limited to these aforementioned African countries but cuts across other neighbouring African countries.