The reign of new wealth in Africa for Africans
- April 1, 2019
- Posted by: susan20
- Category: Uncategorized
After nearly a decade of galloping economic growth, the African continent experienced a very sharp decline.
The hardest hit were the major commodity exporters, especially Nigeria, Angola and South Africa. Nigeria, Africa’s largest economy, went through a recession and its currency took a severe beating, losing more than 60 percent of its value in less than 12 months.
In South Africa, pull-backs in mining operations and volatile commodity prices (especially for gold, platinum, and coal) led to increased unemployment and slow economic growth.
Given the continent’s enormous economic challenges, it’s tempting to think:
“Are there still any viable business opportunities in Africa?”
“Is Africa still rising?”
You see, for decades, the biggest business opportunities in Africa were created through “traditional” sources, especially from the trade and export of raw and non-value-added commodities such as crude oil, timber, gold, coal, cocoa, tea, coffee, leather and several others.
Today, the wealth that is breeding a new generation of millionaires in Africa is being created through new and unconventional business opportunities.
These business opportunities are simmering beneath Africa’s endless stream of unsolved problems, underserved needs and everyday frustrations. New wealth on the continent is emerging from solving problems and creating value, and not from “old school” resource extraction.
The reign of new wealth in Africa
Given the scale of business opportunities on the continent, there’s no doubt that Africa will create its fair share of winners and millionaires in Africa.
These winners will include individual entrepreneurs, private and institutional investors and the ecosystem of specialists and advisors who support them.
These visionaries and believers deserve the rewards. Afterall, while the rest of the world perceives Africa as a cesspool of intractable problems, these winners are discovering new and uncontested wealth opportunities by solving serious problems and creating value on the continent.
I do not expect the tough business climate or lack of support in Africa will change much; in truth, these have never stopped the winners from winning.