• Sunday, July 21, 2024
businessday logo

BusinessDay

Survey says Nigeria, South Africa, Kenya, Ghana most promising markets in Africa

businessday-icon

Nigeria, South Africa, Kenya and Ghana are the most promising markets in sub-Saharan Africa, according to a survey by Agility Emerging Markets Logistics Index for 2016.

Geoffrey White, CEO of Agility Africa on Monday, contains this in a statement, as the annual survey reported that Africa’s requirement for logistics services and supply chain expertise was huge and growing daily.

It said consumer spending by a fast-growing middle class was as important a growth driver for Africa, noting that Nigeria’s enormous potential had become clearer since its recent decision to update the methods by which it collected economic data.

The statement, however, noted the most promising markets would have been huge markets if not for poor infrastructure, lack of power generation and corruption.

It said despite the recent growth and surging foreign investments, sub-Saharan Africa remained a challenging frontier for many, as many of the companies that needed logistics to enter the markets did not know how to get started in Africa or were not willing to take the risk.

The statement noted that the market was open to first movers who could navigate risk and nurture African talent. It said that there was a huge opportunity for those seeking to build long-term sustainable businesses that would bring world-class practices that could adapt to local conditions.

According to the statement, the Agility Emerging Markets Logistics Index, now in its seventh year, offers a snapshot of logistics industry’s sentiment.

It said that South Africa had Africa’s most advanced logistics industry and transport infrastructure, but its economy had been hobbled by chronic power shortages.

It also identified slumping commodity prices, a plunging currency and labour unrest as factors militating against the South African economy.

The statement ranked the following countries at the bottom of the ladder- Ethiopia (37), Tanzania (40), Kenya (43) and Uganda (45).

Among countries in North Africa, Morocco ranked 20, trailed by Egypt (22), Algeria (30), Tunisia (36) and Libya (41).

Agility is a global provider of integrated logistics, and brings efficiency to supply chains in some of the globe’s most challenging environments, offering personal service and customised capabilities in developed and developing economies alike.