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Investing in the New East African Community

In: Business and Management

Submitted By klandau
Words 3490
Pages 14
East African Investment
Trends leading to higher returns for East African portfolios.
Purpose
The purpose of this paper is to be less comprehensive but more general about the trends that are developing in the East African Community expected to contribute to above average investment returns in both the short and long-term. While the information provided serves as a base of knowledge and introduction to the region, there is an expansive amount of information related to the topics below through the World Bank, the African Development Bank Group, African Investment Associations, and numerous periodicals. Specific information on privatizations is available at the Multilateral Investment Guarantee Agency’s PrivatizationLink.
Introduction
Africa is a dynamic landmass. Home to some of the world’s richest and poorest people in the world, this little explored continent has a unique story and seen a struggling path of development leaving more than 600 million inhabitants living on less than $2 a day PPP. Although much of Africa is, developmentally speaking, several generations behind the United States and other western nations, there is reason to believe that returns from human and physical infrastructure, foreign direct investment, and international aid organizations will set the stage for sustainable high growth opportunities in the future. While the continent as a whole shares in the struggles for development, the size of the landmass is four times that of the US and is by no means a homogenous region. Africa is as diverse economically and culturally as it is expansive. After breaking the continent into regions one still leaves ample room for misleading generalizations. Therefore, it is important to refine data to a particular market to represent economic reality. The focus of this paper is on East Africa. In General, East Africa typically includes over 19 countries...

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