E-BUSA Bulletin APRIL/ MAY 2012
BUSA at the WEF in Ethiopia Business Unity SA (BUSA) will be represented at the African chapter of the World Economic Forum (WEF) in Ethiopia this month. This gathering will be held at the headquarters of the African Union (AU) in Addis Ababa. One can argue that it perhaps is fitting its held there – as the headquarters are symbolic of a centre where Africa comes together with a shared vision of achieving sustainable economic development, poverty alleviation and job-rich growth for Africa’s people.
According to the International Monetary Fund (IMF), seven out of the 10 fastest growing economies in the world can be found in Africa. Private equity firm Actis, which has a presence in Asia and Latin America, is aiming to invest $300 million a year in the continent's biggest economies, viz South Africa, Egypt and Nigeria. Other firms that have made headway into the BUSA CEO Nomaxabiso continent include liquor-giant Majokweni SABMiller, financial services companies Standard Bank and Absa, cellular providers MTN and Vodacom as well as auditing firm This gathering in Ethiopia takes place during a global Deloitte, to name just a few. downturn which saw larger economies look at robustly emerging ones. No doubt, the recession has also presented an opportunity for Africa to The African Development Bank estimates that demonstrate to the world why the findings of the African annual expenditure can reach US$2.2 trillion Ernst & Young's Africa Attractiveness Report, "It's by 2030 provided the continent sustains an average time for Africa", are not unfounded empty claims. annual growth rate of over 5%. Africa benefits enormously from, firstly, its natural comparative advantages, and secondly, the bank adds, from an Working with its members, the Corporate Council on already vast and growing middle class (with a total Africa, Business Africa as well as Brand South Africa, population already around one billion) that is driving BUSA has lined up a series of networking, promotion consumption. Countries on the continent recently and publicity opportunities on the sidelines of the have also been successful in implementing farWEF Summit. These include corporate roundtable reaching economic as well as political reforms, discussions, media face-offs and business-toadding to a more conducive business and investment climate. The gathering in Ethiopia will hopefully business meetings. These are themed around the expedite discussions to help enable a conducive infrastructure investment opportunities in Africa, the environment for private sector development and Africa tripartite free trade area (SADC, East African private sector–led growth. Also, to fast track reforms Community and COMESA) agreement currently to aid businesses of all sizes to flourish as growth under negotiation, as well as the outcomes of the engines. I concur with the IMF’S African Department recent BRICS Business Forum Meeting in New Delhi. Deputy Director Roger Nord who said in a conference that; “The key to accelerating economic development in Africa lies in harnessing private Figures show that with the global recession, Africa sector–led growth. And it is important because the has become a promising investment destination private sector is also the main source of future job where companies are making good returns. creation— and Africa needs a job-rich growth.”
1