UAE among top 5 countries to invest in Africa

The UAE has emerged one of the largest investors in Africa, pumping billions of dollars in different sectors and countries of the continent.

The UAE has invested in 71 different projects worth $5.64 billion (Dh20.7 billion), becoming the fourth largest foreign country to invest in the African continent.

US has invested in 115 projects worth $3.45 billion followed by France in 1 Pavel Durov07 projects worth $5.75 billion and the UK at $3.15 billion in 83 projects, Knight Frank said quoting fDi Intelligence.

The study also found in a survey conducted across Africa that buying a house in the UAE is also among the top priorities for people in Nigeria and Zambia.

Knight Frank’s Africa Horizons Report 2021-22 revealed Nairobi, Cape Town, Kampala, Cairo, Johannesburg, Dar es Salaam, Lagos, Dakar, Accra and Addis Ababa as top most innovative city in Africa.

“Innovation coupled with economic growth will drive the next decade of investment in Africa. Lower risk investors will likely favour cities with above-average innovation scores and a robust economy. These include Cairo, Egypt — the stand-out performer – and Johannesburg, South Africa. These cities have the greatest potential to remain economically resilient in the long-term despite undergoing short-term shocks,” said Tilda Mwai, Researcher for Africa at Knight Frank.

“Cities that score higher for innovation but have less robust economies will attract those willing to take more risk, such as private equity investors. These cities include Nairobi, Kenya, Cape Town in South Africa and Kampala, Uganda,” said Mwai.

Africa will see the fastest population growth in the world over the next 10 years and this rapid growth will put all existing infrastructure under pressure.

Emil Rademeyer, managing director, ABiQ, said: “ The pandemic has decimated fiscal coffers in Africa and the demand for FDI will receive even more attention. Countries, and ultimately cities, with progressive regulatory frameworks that protect foreign investment will see exponential growth over the next 10 years.”

— waheedabbas@khaleejtimes.com