Browsing: Africa Investment Forum

Leaders of the Africa Investment Forum and stakeholders at a 2019 investment meeting.

A major topic of discourse is Africa producing its own vaccines. Now, both the private and public sectors in Africa are lobbying for what is essentially a very lucrative deal for the provision of much-needed affordable health care.

Only last year, members of the Africa Investment Forum team showcased two projects that were focused on the pharmaceutical and healthcare sectors. Jointly, the two projects are worth over US$140 million and are to be carried out both in East and West Africa.

“The first opportunity, with a project cost of US$96 million, is for the development of a 250-bed specialist hospital offering world-class healthcare services in a West African country,” the Forum announced in a press release.

“The second project is for the construction of a US$45 million WHO-prequalified vaccine production plant in East Africa that will be capable of routine production of three vaccines, including for Covid-19,” the Forum announced.

Africa’s financial potential has become an interesting prospect for emerging market investors. Three decades ago a proposal to invest in Africa would have been considered ridiculous, but this is no longer the case. In fact, between 2006 and 2011, the continent was registering the highest returns on FDI at 11.4 percent, even higher than Asia at 9.1 percent, while the global average was 7.1 percent. To add to that according to the World Economic Forum, since 2000 “half of the world’s fastest-growing economies have been in Africa. As western markets mature and foreign investments saturate in Asia, Latin America, Central and Eastern Europe, and India, Africa is fast becoming the most lucrative investment destination. The inefficient African markets are an excellent source of excess returns, given the level of perceived risks.