Attractive African Investments That Are Viable

By Jeremy Carden

Foreign aid and African investments have been rolling into the African continent more so than any other part of the globe amounting to around three billion American dollars. Of all the continents Africa has always been the poorest and over the last few decades has been notable deteriorating and as opposed the world. 's entire production Africa only produces two percent.

Despite the fact that the rest of the world have poured in alarming amounts of money Africa sadly remains bankrupt and this is due to the governmental top dogs use and abuse of these funds as well as excessive debts. Africa is fast losing its professional people as statistic shows a staggering twenty thousand and more people immigrate to other countries.

There are really only three viable sectors of interest which potential investors can invest in such as infrastructure, agriculture and telecommunications according to the world economists. An area which has been severely neglected especially within the last two years is the processing of agriculture and agro which has been noted to be a ripe area for investment as agricultural produce only represents around five percent of the world. 's value on the export markets.

There are many opportunities and interesting insights for investors in the under developed but saturated markets of sub Saharan Africa with regards to mobile penetration and the 3G license boom in North Africa as well as South Africa that has only three mobile networks and one telecommunication service being Telkom.

Morocco was the first country in Africa to launch the IPTV service and sceptics are worried about the impact expansion will have on the WIMAX due to the heavy service convergence and how it will affect the other countries in Africa. 's telecom sector. Sudan. 's telecom area is still virginal and unexplored in spite of millions be brought in by the overseas sectors. In spite of the political unrest and oil prices dropping Sudan has vast growth potential.

A golden opportunity is infrastructure and foreign investors should look past the limitations as there is a severe shortage of clean water as well as sanitation available to millions of Africans. The drinking water is no longer safe anywhere in Africa and access to sanitation is nonexistent in most rural areas. Agricultural development and hydro power stations including residential and industry use only four percentage of the water supply in Africa.

Statistics have revealed that in modern times there are still around forty percent or more Africans that are totally illiterate and that the African continent alone accounts for a staggering 70% of HIV infected people causing the populations life expectancy to decrease rapidly and it has also been noted that Africa is at the very bottom of the list when it comes to human development and this was stated by the UNDP recently.

There are opportunities as well as returns from african investment as long as investors are willing to face risks as Africa is the last real frontier in emerging markets unlike other markets that are already crowded with private investors whereby Africa does not have that level of competition and some countries have already realized that Africa is on the radar and have identified the potential in Africa. The most attractive African investments are consumer goods and services, banking and domestic infrastructure as well as telecommunications. - 23212

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