Dubai Chamber: includes various sectors, including transportation, logistics, food and beverages
Emirati companies account for 88% of Gulf investments in sub-Saharan Africa
Dubai Chamber issued a report on opportunities in Africa in cooperation with The Economist.
archival
A report issued by the Dubai Chamber, in cooperation with the British "Economist" magazine, revealed that Gulf companies invested more than $1.2 billion in sub-Saharan Africa during the period from January 2016 to July 2021, especially in the sectors of transport, logistics, food and beverage, financial services and hospitality. He indicated that 88% of those investments came from Emirati companies.
chances
The report pointed to the business opportunities available between sub-Saharan Africa and the countries of the Cooperation Council for the Arab States of the Gulf in the post-Covid-19 period, and the prospects for investment and trade cooperation, on the sidelines of the Dubai Chamber's preparations to organize the sixth session of the World African Business Forum, in cooperation with the exhibition Expo 2020 Dubai will take place on October 13 and 14.
study
The report, entitled "Taking advantage of opportunities: deepening trade and investment links between sub-Saharan Africa and the Gulf Cooperation Council", was based on a survey of 200 senior executives in a large number of key sectors in sub-Saharan Africa, and focuses on monitoring The performance of companies during the pandemic, their responses to challenges, the work landscape and its prospects after the pandemic, and opportunities for cooperation with the Gulf Cooperation Council countries.
Benefits
The report highlighted the benefits for Africa if countries across the continent worked to develop relationships with other regions to invest in African business and infrastructure, and open their markets to African products and services.
The report examined opportunities for Africa to strengthen relations with the Gulf Cooperation Council countries in general, and with the UAE and Dubai in particular.
The report concluded with four main conclusions: Africa must provide the basics, including legislation, regulations and infrastructure to promote growth in key sectors, the fact that the digital economy is an essential component of growth in Africa, and the role that the Arab Gulf states can play in supporting Africa to bridge the deficit, The provision of deficiencies in basic infrastructure, in addition to the contribution of African companies in supporting and expanding the Gulf economies.
new structure
The results of the report recommended the need to work on building a new business structure that secures the basics of economic work for African markets, by providing the legislation regulating the work of the economic sectors that contribute to directing the wheel of the economy towards achieving sustainable strategic goals, in addition to having the infrastructure necessary for business growth and prosperity. That 59% of executive officials face obstacles related to the inefficiency of legislation and its keeping up with economic changes, as well as the severe shortage of public utilities, the weak ability of the road network to connect suppliers and industrialists to commercial centers, and a weakness in the digital infrastructure, which requires the intervention of all concerned parties to develop plans A deliberate approach that addresses these problems and builds the beginning of a new economic renaissance.
solid relationships
The Director General of the Dubai Chamber, Hamad Buamim, said, "Dubai and the UAE enjoy long-standing and well-established relations with Africa, as this relationship has been further strengthened over the years."
He added that "Africa is one of Dubai's largest trading partners, and represents an essential component of our economic growth. At the same time, Dubai has been able to strengthen its position as a preferred destination for African companies, and a launching pad for companies looking to expand outside the continent and access global markets."
• Gulf companies invested $1.2 billion in sub-Saharan Africa over 5 years.
Sectors essential for growth
The report “Taking advantage of opportunities: deepening trade and investment links between Sub-Saharan Africa and the Gulf Cooperation Council” identified a set of sectors that will be essential to African growth.
The report predicts that these sectors will experience significant growth in sub-Saharan Africa, with revenues expected to rise significantly in 2022. The sectors identified by the report are the FinTech sector, according to the opinions of 90% of executives who are looking to start this growth in In 2022, it is closely followed by the healthcare sector with 89%, the agriculture and food sector with 87%, and the retail and e-commerce sector with 74%.
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