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Havas-ECA study: 84.9% of international investors express optimism about growth in Africa

ADDIS ABABA – A new barometer has shown international investors optimism and renewed confidence in the Africa’s economic prospects.

The 5th edition the annual barometer includes the opinions  of more than a hundred international public and private investors.

They gave their perception on the financing of African growth by 2030, as well as on the economic dynamics and future trends of the continent.

The Havas Horizons 2021 barometer reveals that investor perception has evolved considerably in many areas, thus confirming the steady changes of a booming continent.

This year again, international investors (84.9%) reaffirm their optimism and renew their confidence in the continent’s economic prospects for 2030.

Africa is still seen as a particularly attractive region, the study finds.

“International investors are embracing the establishment of AfCFTA, a larger and more integrated African market whose trade barriers will ultimately disappear,” said Vera Songwe, UN Under-Secretary-General and Executive Secretary of the ECA.

“It will boost intra-African trade and should serve as a springboard for the continent’s industrialization as well as for the much desired diversification of its economy,” she added.

It should be noted, however, that this optimism has dropped slightly (it was 100% in 2015 and 92% in 2018) thus transitioning from an era of afro-optimism to one of afro-realism, says the report.

Top tree attractive nations

The top three most attractive countries this year are Rwanda (48%), Nigeria (24.3%) and Ethiopia (21.6%), says the annual biometrics show.

Côte d’Ivoire and Kenya are out of the top three compared with the studies of 2015 and 2018.

Worthy of note is Rwanda’s meteoric rise from the 12th position in 2015 to the 1st in this edition.

Generally, there are still disparities between the major regions where investors wish to increase or maintain their investments.

East Africa is considered the region with the strongest growth potential with 89.6%, followed by West Africa (79.2%) and North Africa (77.8%).

Central Africa remains the least attractive region (58.3%). The major change with the 2018 study is that West Africa dropped to second position.