Rand Merchant Bank (RMB) recently released its list of top sectors to invest in Africa. This targets investors eyeing real assets or looking to expand businesses that rely on physical infrastructure. This year’s approach included tenets of the operating environment, fiscal scores and development plans, all of which are key to attracting investments amid Covid-19. Egypt While Egypt’s economy was hard hit by the pandemic, it was also one of the first to bounce back towards growth. The country has made itself a beacon for overseas investors, compelled by favourable incentives and a large and dynamic domestic market. Investors have been attracted to Egypt’s intoxicating mix of rapid gross domestic product (GDP) growth, a strategic geographical position, a skilled labor force and, crucially, a large domestic market. Morocco The economy of Morocco continues to benefit from political stability. A special fund to combat Covid-19 was established in 2020, representing 2.7 per cent of GDP. Two-thirds of the funds were to be provided by private sources and one third by the government. Morocco’s attractiveness as the continent’s fifth-largest business market. Morocco’s rapid technological growth has also been encouraged by various government initiatives including the country’s location which also provides an opportunity for many western countries to utilize it as an opportunity to gain an investment foothold in the rest of Africa. South Africa The country offers a strong manufacturing and retail base that continues to support southern African regional economies with goods and services. South Africa has a world-class business infrastructure,...

Dar es Salaam. Tanzania has the potential to become East and Central Africa’s transportation hub if its infrastructure is improved and integrated with information technology. This was said by Mwananchi Communications Ltd board member, Mr John Ulanga, today November, 5, 2021, during the 60-year Independence Symposium on the Infrastructure Sector. Themed Growth, Challenges and the Future of the Infrastructure Sector in Tanzania, the symposium was attended by various stakeholders including ministers. Mr Ulanga said in the whole of Africa, there is no country that borders many landlocked countries like Tanzania, which borders about six such countries. "It means that as we continue to improve infrastructure, we are improving the opportunities we have as a country to generate more revenue from the export sector," said Mr Ulanga. He said apart from improving the country’s domestic transport, infrastructure development will enable the country serve as a transport hub by connecting East Africa with businesses abroad. Studies show that the state of infrastructure in Africa, reduces productivity by 40 percent thus increasing production costs by 30 to 40 percent. Mr Ulanga said this is due to the fact that one-third of anything that a person buys comes from transportation costs. "So if our transport infrastructure is not good enough, production costs will also increase locally but also within the African continent." According to Mr Ulanga, who is also the resident director of TradeMark Africa, technology plays a key role in increasing the country's infrastructure efficiency, saying studies show that 70 percent of Africa's...

HORTICULTURAL growers can now learn practically about good agricultural practices, climate-smart technologies, and crops commercialization for high yields and income respectively, at a newly opened state-of-the-art ‘National Centre of Excellence for Horticulture.’ Agriculture deputy minister Hussein Bashe (C) cuts ribbon at Tengeru in Arusha Region recently to inaugurate a national centre of excellence for horticultural farmers. He is with, among other people, UNDP Resident Representative Christine Musisi (3rd-L), TAHA Group CEO, Dr Jacqueline Mkindi (2nd-R) and TAHA board chairman Zebadiah Moshi (3rd-R). Photo: Guardian Correspondent The full-fledged Tengeru horticulture farmer’s services centre of excellence on the southern slopes of Mount Meru in Arusha, built by the private horticultural apex body TAHA, through financial support from UNDP, will showcase some of the most advanced and climate-smart technologies for horticulture nursery and cultivation. The UK BRC recognized CoE which already created decent employment for 250 mostly women and youth, is also the strategic trans-shipment hub, serving as a one-stop centre for perishable crops destined to various international markets. To be specific, the hub with the state-of-the art cold storage, packaging and sorting facilities designed to guarantee horticultural crops reach the overseas consumers at their optimum quality. The centre also offers shipment services under one roof, offering a ray of hope for thousands of local small-scale growers and exporters to participate in the export value chain. “The perishable hub eases the transport of local perishable goods, such as green beans, fruits, spices and vegetables to export markets around the world,” says TAHA Group...

The consequences of Covid-19 will be felt for years to come, but it is clear already that multinational companies and investors are turning their attention back to the world’s youngest continent – and with good reason. Speaking at EY’s Africa Tax Summit 2021 which was held last week, Larry Eyinla, EY Africa Tax Leader, said: “Investors have for years followed Africa’s notable and durable demographic trends. And now as Covid is hopefully receding they are once again focusing on Africa’s distinctive appeal which has been brought into stark relief by the pandemic. “In the coming decades Africa will be the world’s only source of a growing labour forces and consumer bases. It is the world’s youngest continent, and stands out in a world of ageing and shrinking populations.” He added the big question for Africa post COVID is where it lands in the global reset. “There’s an opportunity for us to get the right policies in place and capitalise like never before. The pandemic, and governments’ response to it, certainly paused the world’s interest in Africa but now the attention is back on the continent because of the opportunities it offers. There have been many false starts for Africa; now is the time to catch the wave of renewed investor interest.” He noted that multinationals are increasingly planning for this, He cited increased investments in start-ups in the fintech sector across the continent, and recent commitments by large tech companies including Microsoft, Google and Oracle, to invest in tech infrastructure...

Tourist arrivals to the East African regional block fell from 6.98 million arrivals before the Covid-19 pandemic to 2.25 million arrivals during the pandemic. East African Community (EAC) secretary general Dr Peter Mathuki put the lost revenue at 92 per cent. “The tourism sector was the worst hit by the Covid-19 pandemic,” he said during the opening of a recent virtual regional tourism expo in Arusha, Tanzania. Mathuki noted that the region was now open again for business, urging EAC Partner States’ governments and other stakeholders to work together to market the region’s tourist attractions and products as part of the efforts to ensure speedy recovery for the sector. “Despite the fact that the pandemic has reversed the gains that we had made in the tourism sector, we are quite confident that through collective and collaborative efforts, we should be able to bounce back to pre-pandemic levels of performance and even do better within a span of less than five years,” he said. He added, “As a region, we have what it takes including iconic and fascinating tourist attractions, ranging from pristine white beaches to beautiful snow-capped mountains, rolling savannahs to dense rainforests, rich cultural heritage that span the entire region and unmatched diversity in wildlife species.” Mathuki said that the region had drawn a number of important lessons from the pandemic, especially in relation to the economic sectors that were hard hit such as tourism. “One lesson that stands out and resonates with most destinations around the world is...

In Summary According to KenTrade CEO Amos Wangora, the agency expects to have all government agencies migrate to the upgraded platform by March next year. The system has so far helped improve trade facilitation processes and procedures , with autotation increasing from 14 per cent to to 92 per cent. The government wants to have all trade related agencies offer services on the Kenya National Electronic Single Window System for faster facilitation. The system which was rolled out eight years ago by the Kenya Trade Network Agency (KenTarde) is currently being upgraded with over 41 stakeholder organisations including about 20 state agencies on board. Other users include 38 active insurance companies, 36 banks, 1,529 clearing agents, 46 shipping agents and shipping companies, 29 container freight stations and five cargo handling companies, all set to migrate. Some of the key agencies that have been on the platform include Kenya Ports Authority, KRA, Kenya Bureau of Standards and port health. According to KenTrade CEO Amos Wangora, the agency expects to have all government agencies migrate to the upgraded platform by March next year. The system has so far helped improve trade facilitation processes and procedures , with autotation increasing from 14 per cent to to 92 per cent. It has increased revenue yield by Sh3.44 billion with reduction in cargo clearance documentation approval time from an average of 12 days in 2013 to two days, resulting in savings along the supply chain of an estimated Sh2 billion per year. “The the system...

The Africa Investment Forum held a roundtable event to preview two agribusiness deals worth nearly $400 million as part of the lead-in to its upcoming 2021 Market Days. The investment opportunities, drawn from the Africa Investment Forum’s pipeline, will be presented in full during the Market Days, to be held from December 1-3 in Abidjan. The virtual roundtable, organized by the Atlantic Council, took place on Thursday 7 October, 2021. During the roundtable, members of the AIF team presented an outline of the deals to investors. The first one, which requires $345 million in capital, entails construction and operation of a food market that will serve about 15 million people in an area projected to be Africa’s largest food exchange zone. It would also serve as a marketplace where farmers bring in produce to sell to potential customers at retail or wholesale prices. As well as farmers, the food market will provide livelihood opportunities for fishers, meat and dairy producers and wholesalers. The second showcased deal involves the scaling up of a dairy milk production and packaging company in a Southern African Development Community country. The project sponsors have a good operational record in the agriculture sector, and they have secured an off-take agreement with a major international food and beverage company for the milk production. The deal, valued at $50.2 million, has strategic value for the national government, and provides an opportunity for local production of a commodity that is typically imported. There is also potential for job creation...

What you need to know: When Covid-19 hit in March last year, Elegu was the epicentre of the virus and at least 10 truck drivers would be reported to have tested positive for Covid-19. Long-distance truck drivers travelling to and from South Sudan will be subjected to Covid-19 jabs at Elegu border in Amuru District. Mr Ndungu Omongo, the executive director of Uganda Professional Drivers Network, told Daily Monitor at the weekend that the move is aimed at containing the spread of the Covid-19 pandemic. “We want all long route truck drivers to get vaccinated because they are vulnerable to contracting Covid-19 as they ply different routes from one border to another,” Mr Omongo said. Mr Omongo also said they are working with the Health ministry to sensitise truck drivers. Recently, the leadership of truck drivers launched a 15-day campaign to sensitise its members on vaccinations. The initiative brings together other bodies such as the National Logistics Platform under the Private Sector Foundation, Trademark East Africa, Regional Lorry Drivers, and Transporters Association, among others. More than 600 trucks cross from Uganda to South Sudan through Elegu daily. Mr Bryon Kinene, the chairman of National Logistic Platform, said the truck drivers operate in a risky environment. “Today, when you cross to South Sudan, everything is normal and no SOPs are being implemented, this is a serious problem for us who move across countries and we saw how truck drivers were the source of the virus in the first wave,” Mr Kinene...

Construction of a $3.5 mill cruise ship terminal at Mombasa is due to be completed in August next year. Kenyan Tourism and Wildlife Cabinet Secretary, Najib Balala (pictured) told local media that the terminal will be completed in time for the cruise season in November. The cruise ship terminal is being constructed with the help a funding from Kenya Ports Authority (KPA) and Trade Mark East Africa. According to Balala, Kenya is increasingly becoming attractive to cruise ships. For example, Oceania Cruises’ ‘Nautica’ will arrive at Mombasa in December, with about 700 visitors. “We have seen good interest by cruise liners attracted to Mombasa port. Kenya has been eyeing cruise tourism growth after the segment improved significantly in the last two years with thousands of visitors arriving in the country by sea,” Balala reportedly said. The modern facility, which began construction in 2016, will feature an arrival and departure areas for passengers, a passenger lounge, an immigration office, reception counters for cruise operators, restaurants and souvenir shops. “The cruise ship is good for the hospitality business. We will get many international tourists and attract big ships. We should create awareness on cruise ship tourism so that Kenyans can tap into that business,” added Balala. Read original article

Somaliland Quality Control Commission (SQCC) launched 16 quality Standards of the most traded goods with the aim of supporting local industries tap into regional markets. The 16 standards are among the first for the country and cover the following sectors: Oils Seeds, Edible Fats and Oils, Cereals, and pulses; Livestock and livestock products; and beverages. TradeMark Africa (TMA) provided support to SQCC for the development and harmonization, adoption, and dissemination of conformity assessment product standards for the priority sectors with the potential to be traded within the Eastern Africa region. The project was funded by UKAID’s Foreign Commonwealth Development Office (FCDO) and technical assistance provided by British Standards Institution (BSI). In the absence of harmonized standards, enterprises face challenges while exporting and accessing markets due to the technical product requirements of the local or destination market. Such requirements include the need for goods to comply with quality, health and safety, and sustainability standards as well as the associated conformity assessment procedures. Failure to adhere to these technical requirements results to higher transaction costs, longer time to access export markets, and loss of economic opportunities. Somaliland’s adoption of the 16 standards, will help overcome some of these challenges. It is also timely as the newly enforced Africa Continental Free Trade Area (AfCFTA) provides a platform for the liberalization of the movement of goods and services within the AfCFTA framework; offering opportunities for enterprises that comply with technical regulations, voluntary standards, and Sanitary and Phytosanitary (SPS) measures. Intentional commitment by businesses to continuous improvement...