Business
Lagos Business School to host Africa Business Conference
A report by the World Bank predicted that sub-Saharan Africa’s expansion would be 4.9 percent, 5.1 percent and 5.2 percent in 2013, 2014 and 2015 respectively, again comfortably outstripping the global average.
Increased investment, high commodity prices and a recovery in the world economy are likely to sustain the narrative of “Africa Rising”, the bank said. Foreign direct investment inflows to sub-Saharan Africa are projected to increase to record levels each year over the next three years, reaching US$54 billion by 2015.
The fundamental reasons behind the continent’s growth surge include government action to end armed conflicts in warring regions of the continent, improve macroeconomic conditions through adoption and enforcement of robust fiscal and monetary policies, and undertake micro-economic reforms to create a better business climate.
In recognition of the need to correct the mistakes of the past years, several African countries halted their deadly hostilities, creating the political stability necessary to revive economic growth. Next, Africa’s economies grew healthier as governments reduced the average inflation rate from 22 percent in the 1990s to about 8 percent after 2000. Foreign debt by was shaved by one-quarter and budget deficits were shrunk by two-thirds. These amongst many other efforts have ensured the continued growth of Africa’s economy.
If recent trends continue, Africa will play an increasingly important role in the global economy. By 2040, it will be home to one in five of the planet’s young people, and the size of its labor force will top China’s. Africa has almost 60 percent of the world’s uncultivated arable land and a large share of the natural resources. Its consumer-facing sectors are growing two to three times faster than those in the OECD countries. And the rate of return on foreign investment is higher in Africa than in any other developing region. Global executives and investors cannot afford to ignore this. A strategy for Africa must be part of their long-term planning.
The time for businesses to act on those plans is now. However, the question is how do businesses convert these vast opportunities into successful ventures and further actualize tangible developments for Africa? How do we leapfrog these challenges? How do we make our small and medium sized enterprises (SMEs) more competitive and position them successfully against the influx of global players?
These are questions that participants will get answers to at the LBS Africa Business Conference. The LBS Africa Business Conference seeks to bridge the gap between future business leaders (an emerging crop of high potential young entrepreneurs) and successful business leaders who have risen above the daunting challenges of doing business in Africa and have metamorphosed into entrepreneurial prodigies.
