Top five African countries for business

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Published on 2018-04-12 at 12:30 by Veedushi
Often portrayed as an impoverished and underdeveloped continent, Africa has a more significant wealth than you could ever imagine. Its openness to the global market, along with its economic dynamism and some of its politically and socially stable nations, Africa holds many business prospects for foreign investors and entrepreneurs. For those looking to set up their business abroad, here are the top five countries where to invest in Africa according to the African Investment Index 2018.

Morocco

Tangier, Morocco
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Over the past years, Morocco has become one of the most popular expat destinations thanks to its strong historical and cultural heritage, combining traditions with modernity along with an unparalleled quality of life. With an estimated 3.1% growth rate in 2018, Morocco is also the ideal place to do business in Africa. The country not only has a road infrastructure and logistics matching international standards but also a stable economy and political situation. By choosing to set up your business in Morocco, you will be entitled to a highly qualified and skilled workforce and competitive costs regarding production and operations. Morocco provides a range of investment prospects, especially in industry, renewable energy, information and communication technology, logistics, trade and distribution. The country stands out for its liberal economy including free trade agreements. Foreign entrepreneurs in Morocco are eligible for various investment incentives in addition to simple formalities and an attractive tax system. Innovative startups that are likely to contribute to the Moroccan economy can benefit from incubators in Rabat, Casablanca and Tangiers.

Egypt

Cairo, Egypt
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Egypt owes much of its attractivity in the eyes of foreign investors to its strategic location. Recovering from a prolonged political crisis, Egypt can now boast of its economic dynamism. Today, the country provides business prospects in various fields including industry, real estate, finance, tourism, manufacturing, etc. By choosing to set up your business in Egypt, you will be entitled to a high standard infrastructure along with investment incentives such as tax redemption, an average of 35% levy on customs duties, a favourable legal and institutional framework, free trade agreements and attractive real estate prices. Egypt has also become one of the world's leading outsourcing platforms for the United Kingdom, the USA, Canada, Europe and sub-Saharan Africa. Also, your business will benefit from a multilingual, highly qualified and skilled workforce at lower costs. While all economic sectors are open to foreign investors, some are governed by specific laws allowing building, operation and transfers (BOT).

Algeria

Algiers, Algeria
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Algeria is probably not the first country you will consider regarding setting up your business abroad. However, the country has much to offer, including many investment incentives, ranging from tax to customs regulations. Foreign entrepreneurs are entitled to financial help through two public bodies – the National Investment Development Agency and the National Investment Board. More precisely, startups can benefit from subsidies on interest rates for bank credits and exemptions on customs duties and value-added tax both on imports and on transfers in the case of property acquisition. Regardless of the nature of your business, Algeria can be an interesting destination for all these reasons. Its rapidly developing economy and its restored political stability and security have allowed the country to strengthen its position on the global market during the past years. Tourism, chemistry, agribusiness, health, renewable energy, and information and communication technology are some of the sectors you may consider for your new business project.

Botswana

Gaborone, Botswana
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Landlocked in Southern-east Africa, Botswana is far from being a popular expat destination. However, it can be an engaging choice for investment or launching your startup for various reasons. For instance, did you know that Botswana is one of the world's least corrupted countries? Fight against corruption at all levels has allowed the country to strengthen its business reputation. Botswana enjoys not only political stability and a low inflation rate but also a good level of safety and security which make it a great place to set up a business. Agriculture, communication, tourism, banking and insurance, trade, and transportation are some of the most promising fields for business. Following massive investment in infrastructure and institutional development, Botswana now provides an attractive business climate with many incentives such as a simplified tax system and the rationalisation of regulatory practices to protect investors.

Ivory Coast

Abidjan, Cote d'Ivoire
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With its booming economy and society, Ivory Coast has been attracting expatriates in large numbers since the past few years. It's also an excellent country to do business thanks to significant development projects, its impressive infrastructure, along with its multicultural environment and bilingual population to which you won't find it hard to adapt. One of the most modern metropolia in Western Africa, Abidjan can boast about its highly qualified and skilled workforce and various business prospects for foreign investors. Its strategic location has allowed the country to become a leading financial centre in the region even though industry, agriculture, and mining and petroleum are the most promising fields for business. Over the past decade, the Ivorian government has set up a range of incentives to boost its attractivity such as a tax relief system to allow the private sector to recover more rapidly. Other measures include the setting up of a one-stop shop for businesses, protection of investors, creation of a program for infrastructural development, and a new Investment Code.

Article translated from 5 pays o investir en Afrique