- Industry: KPMG in Africa
- Type: Business and industry issue
- Date: 7/11/2012
KPMG hosts ‘Transacting in Africa’ discussion panel
The 'Great Africa Business Migration' has spurred serious discussions around the realities of doing business on the continent. Transacting in Africa poses complexities that companies need to factor in. Complexities stem from the heterogeneous nature of Africa - with 55 countries of different regulatory, tax and competitive environments.
In the sixth episode of KPMG’s Africa Conversation Series, experts discussed the most pertinent trends and challenges related to making investments in Africa today.
The main trends pertinent to decisions around transacting in Africa include:
- An increasing number of smaller companies are undertaking investments in Africa - due to improved growth opportunities and regulatory and tax regimes.
- KPMG Africa’s Banking Survey, conducted in May 2012, revealed that Africa’s banking sector has improved - and there continues to be consolidation and expansion appetite.
- Recent over-banking trends in Africa have led to regulatory challenges, but these are increasingly being addressed.
- Despite the financial crisis of 2008, there is now more private equity available in Africa.
- Substantive investment comes from China, now Africa's biggest trading partner.
- Potential investors prefer to follow country-specific opportunities, rather than engage with a regional block.
Watch the full discussion on abndigital.com
KPMG's Africa Conversation Series is dedicated to developments in Africa and the implications for business on the continent. The Conversations facilitate interaction and knowledge-sharing between KPMG experts, clients and other stakeholders operating in various economic sectors across the continent.