Why of Investing in the African Market

What is investing

If you are new to investing, here’s the memo;  in general, investing is the act of distribution of money and assets with the expectation that you can make a profit somewhere down the line. You can invest in various ways, for example, you can invest in durable goods, in real estate, in product development, factories for manufacturing, and even in research development. You can invest your money in nearly anything!

Why invest in the African market

If you are looking to invest right now, our advice is that you look into investing in the beautiful continent of Africa. The African market is currently in the early stages of its development and it has nowhere to go but up! The feelings of the biggest investors worldwide about Africa have been slowly shifting from seeing it in a negative light to a much more positive one; almost hopeful.

A lot of vocal economists have described Africa as a continent full of opportunities, prospects, and creativity. Africa’s formalizing economy is well known as about 50% of Africans will move to cities by 2050, which is not an urbanization rate that can be easily swept under the rug.

Currently, there is another huge advantage to the African market; the African trade barriers are slowly dissolving. What does this mean for you, a potential investor? It means that the intra-African trade holds enormous potential for business! Africa has its own mega-trade deal similar to CPTPP but on a larger scale, much larger – 54 nations are part of this trade deal which also happens to represent the entirety of the African continent and market. Any countries that are part of the trade-deal are assured to see a boost in their economy, which is only an incentive for you, the investor, to develop electronics, machinery, chemicals, textile production, and processed foods all in Africa!

Not only is the African continent have the potential to feed the entire world, but the raw materials are also much more available there than anywhere else on the globe. What is even crazier, is that the African soil and weather is wonderful for farming. Agriculture might be one of the safest areas of African investment. The weather conditions in Africa, especially in West Africa are more than favorable and gives you a fool-proof guarantee for beautiful farm produce.

Why YOU should consider purchasing real estate in Africa

One of the most overlooked characteristics of the African market right now though is a little less obvious at a first glance. The best way to invest in the African market, today, is to purchase properties and real-estate in quickly developing areas that are seeing a high influx of urbanization. You can purchase a few middle-class or upper-class properties and witness, how quickly their value will grow! As the waters clear up in Africa, their economies will stabilize and become a very strong continent, perhaps one day, able to rival Australia.

Shortcomings of the African market right now

While, real estate might be the right thing to invest in right now as to be able to cash out big in 10, see 20 years from now, there are a few shortcomings of the African economy that you must take in account.

That is why the real estate way is the safest and easiest to guarantee way of having your investment pay off!

There is a lot of missing infrastructure and technology that will need to be slowly rebuilt, built, and upgraded as the economy keeps growing in each and every country. If you are coming, as a possible inexperienced investor, to get some African investment going… this might be a little tricky – as some Mondial giants like Nestlé had to recalibrate to the demands of the new market. Due to those miscalculations, Nestlé was forced to perform some lay-offs within their company.