Webinar: Overview of the Private Equity market in Africa: Bright Africa Report 2021

Apr 14, 2022 | Online

14 april 2022 - Making Finance Work for Africa and RisCura hosted a webinar based on the Bright Africa Report 2021: Private Equity.

Introduction and concept

The global Covid-19 pandemic has had a serious impact on countries’ financial sectors and flows of capital. The rebound of most economies following the crisis will likely provide an additional boost and shift investor sentiment back towards emerging and frontier markets as investors’ risk tolerance increases. The economic recovery in Africa is driven by world-wide economic trends such as elevated commodity prices, a relaxation of lockdowns and travel restrictions, and increased global trade. The continent has also experienced good agricultural harvests in many regions. Economic recovery in Africa was initially slow because of low vaccination rates and the deterioration of the fragile fiscal position of many African governments. This is expected to rebound more strongly in 2022.

Even during this difficult time, some positive structural and regulatory changes on the continent are nurturing the green shoots of economic recovery. The most important of these have been the development of the African Continental Free Trade Area (AfCFTA), which could result in up to USD450 bn more income and significant wage increases. Other long-awaited positive developments include the unification of exchange rates in Sudan, fuel subsidy reform in Nigeria, and opening investment into the telecommunications sector to the private sector in Ethiopia.

Rationale

Realising Africa’s potential for enormous growth and innovation, given its young population and vast natural resources, will require considerable investment into economic reform, education, healthcare and digital skills development. Africa is still an attractive investment destination, but requires enhanced economic reforms, good governance and a stable political landscape to continue attracting PE fundraising and entrepreneurs. Addressing these factors can play a pivotal role in the development of the continent.

In this context, Riscura released its latest Bright Africa report with perspectives on and analysis of private equity (PE) markets in Africa, looking at fundraising, deal activity and pricing over the last 10 years. This report provides insights into the very different regional markets in Africa for investors looking to invest into Africa.

During this webinar, the panelists highlighted the key findings from the research covering pricing, dry powder, investment activity and exits. Participants were updated on the legal and regulatory framework around the PE market; and innovative products and solutions to overcome the different challenges of the market will also be presented.

The recording is available below. Please click here to download the full report


Tentative speakers

Moderator: MFW4A

Panellists:

  • Heleen Goussard, head of alternative investment services,RisCura
  • Dadié B. Tayoraud, COO, Injaro Investments Ltd
  • Hakim Khelifa, Executive Partner, AfricInvest Fund.

Moderator: Wambui Chege, Independent Chairperson, MFW4A Partnership

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