The Continent of Africa

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The African Continent
The big opportunity is the fact that the African continent is one of the final frontiers as other emerging markets such as Asia Pacific are maturing.

A few key reminders about this amazing continent:


Second largest continent by area and population
54 countries fully recognised by the United Nations
Significant natural resources
Africa’s complicated political situation, history of colonialism, and ongoing insurrections in many countries has largely kept multinational and institutional investors away from some countries
South Africa – probably the most developed country, driven by raw materials & mining luxembourg mobile database industries (largest producer of gold / platinum / chromium in world). Also, strong banking and agricultural industries.
Southern Africa – Generally the more developed market with strong mining industry
North Africa – Similar to the Middle East with oil reserves attracting oil related activities and industries.
Sub-Saharan – The lessor developed economies and often untouched by international investors where infrastructure type projects are key opportunities.
What are the patterns being seen in investing into Africa?
From working with our clients, Dixcart see the targeted countries are driven by the client’s specific sector of interest (see above) and have noted the following general trends:

Often the targeting of successful investments / projects in the more developed Southern African countries first; then,
Expanding into the lesser developed countries thereafter, once having gained an understanding and track record in order to provide confidence to investors (as more challenging to invest into the lesser developed countries but may ultimately produce greater returns).