In the latest report released by Quantum Global Research Lab, Morocco has topped the chart as the most attractive investment destination in Africa. With 2.57 billion dollars of foreign investment in 2017, the country witnessed an increase of 12 per cent from the last year.
The factors like Morocco’s strategic geographic positioning, social capital factor, increased economic growth, external debt levels, direct foreign investment and favourable business environment have played a vital role in fuelling the investment advancement. The investment index featured ‘Top 10’ and ‘Bottom 10’ African countries. On the Top 10 list, Morocco was followed by Egypt and Algeria. Botswana captured the 4th spot, while Ivory Coast nailed the fifth spot. South Africa, Ethiopia, Zambia, Kenya and Senegal followed the suit.
On the other hand, the ‘Bottom 10’ list comprised of Central Africa and Liberia followed by Somalia, Eritrea and Equatorial Guinea. Gambia, Sierra Leone, Sao Tome-Principe and Zimbabwe completed the list. According to Quantum Global Research Lab, an independent research arm of Quantum Global, Morocco is being recognised as one of the best emerging markets for overseas investment. It has been successful in attracting international investors to its borders, especially in areas of energy, banking tourism and development of industry.
The top-five African investment destinations attracted an overall FDI of $12.8bn in 2016. They have been able to become the fastest-growing economies in Africa because they have scored reasonably well in liquidity and risk factors such as real interest rate, exchange rate risk and current account ratio. These African economies are whirling their attention towards diversification to encourage industrial growth, and to attract investments in non-oil strategic segments, despite the improvement in oil production and prices.
The much-needed capital to develop Africa’s primary sectors will be driven by the continued FDI inflows. The focus will be on meeting the demands of the continent’s fast growing middle-class through manufacturing sectors to create more jobs, improve economic growth and support structural makeover. Morocco has been proficient in maintaining the consistency to sustain the investment advancement. On the other hand, countries such as Swaziland, Angola, Rwanda, Chad, Comoros, Seychelles, South Sudan and Sierra Leone have registered a strong upward movements in terms of improvements the ranking over the last 3 years.
In its report, Quantum Global Research Lab stated that increased economic growth, direct foreign investment and favourable business environment are some of the major factors to attract investment and endure consistency for all the African countries in the future.
Latest posts by Martina Smith (see all)
- From Football to Sprinting: Hima Das’ story will make every Indian proud! - July 30, 2019
- Top 5 projects of IRB Infrastructure Developers Ltd - July 25, 2019
- RBI Repo Rate Cut by 25 basis Points; Real Estate Sector Lauds The Move - July 24, 2019