Investment opportunities in Africa
Countries of Africa
There are fifty-some countries in Africa with wildly different economies, legal systems, and cultures. All bring different combinations of difficulty, risk, and potential rewards. What kind of profile you can cope with is the first question.
Places like Gabarone in Botswana are low risk and growing but you may or may not get a business license depending on your circumstances. Namibia is a low risk but the returns are quite low. Zambia has an excellent medium to long-term potential as does Mozambique (especially along the thousands of km of tropical coastline)
Investment properties
A lot of folks have made money in South Africa where property values are very good at the moment. However, governance is becoming more and more shambolic which pushes the risks up. I keep thinking Tanzania is going to come through one day but I’ve been thinking that for thirty years. 🙂
Angola is a wash with money but it is shockingly corrupt and property law is, shall I say? “opaque”.
Nigeria has more money than anyplace but for outsiders is a quagmire.
West Africa, in general, is suffering from poor governance. Mali, Eastern Niger, Northern Cameroon, Chad and Bornu state in Nigeria are basically struggling with political unrest — lots of French military activity;
Central Africa; CAR, DRC, Rwanda, Burundi are are making strides in the right direction.
All in all, if I had reasonable funds to invest– 1-10 mil USD I’d probably go to Ethiopia, but my advice, wherever you decide to invest, take at least one year to live imn I’d take a year living in the place to make sure I’d done my research properly. African in general has a lot of potential. It is an un-tapped market with over 1 billion individuals all looking to turn their lives around.
To Invest in Africa
- Do your research in the are you are looking at.
- Live in that area for a year at least
- Partner with local corporate talent
- Demand accountability and responsibility
- Always inspect what you expect
- Always work with corporations that have external Audit requirements
If you are willing to take on a challenge, contact SECPE investments at info@www.secpeinvestments.com