Doing Business

in Africa
Are infrastructure
developments creating
an East African boom?

03 Ethiopia: Accelerating economy

10 Mauritania: Green hydrogen deal
21 South Africa: Risk management
Kreston Global Contents
in Africa
As a top 10 ranking network in Africa, Kreston Global has a AFRICAN REGION
significant presence in the region, spanning 28 countries, 27 Investment boom. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
firms and almost 1,400 staff. The network has seen
impressive growth, including the recent addition of two new ETHIOPIA
firms in Nigeria and Uganda, contributing to the move from
An accelerating economy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
12th to 10th largest global accounting network in the region
for 2024.
KENYA
The creation of a Kreston Global Africa Committee has A rising star built on change . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
augmented an already strong position, with the Committee
focused on creating a seamless network in the region. With
NIGERIA
such a clear vision for the continent, Committee members
Pivotal role in industrial revolution. . . . . . . . . . . . . . . . . . . . . . . . . 11
and their colleagues share their vision for Africa for 2024,
highlighting areas for growth, stability and investment. Industrialisation vis-à-vis inward investment
opportunities in Nigeria. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
With East Africa highlighted as the economic engine for the
region in 2024, our experts in Ethiopia and Kenya explain
what is behind the transformation and how significant GREEN AFRICA
investment in banking and telecommunications should Creating widespread resilience. . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
ensure the economic boom lasts well beyond 2024.

Our experts also discuss “Green Africa”; Mauritania poised

MAURITANIA
to move away from fossil fuels and towards green hydrogen, Green hydrogen deal . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23
the sustainable policies driving change in Morocco and
Tunisia and the diversification of Nigeria away from fossil SOUTH AFRICA
fuels into manufacturing. Risk management delivering sustainable growth. . . . . . . . . . . . . . . 25

We take a look at the challenges South African businesses are

facing at the moment, and how risk management can help TUNISIA
clients achieve sustainable growth in a turbulent economy. A welcome home for start-ups and gateway for Africa. . . . . . . . . . . 29

If you are currently exploring doing business in Africa, our

MOROCCO
experts, with a clear view of the region’s opportunities and
Leading the way with green policy. . . . . . . . . . . . . . . . . . . . . . . . . 33
challenges, offer critical insight in our latest regional overview.

Key contacts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 37
Investment TAREK ZOUARI
Managing Partner,

boom in Africa
Exco Tunisie,
Tunisia

Kreston Global expert Tarek Zouari, Managing Partner Exco Tunisie explores what is
driving investment in Africa.

The United Nations Emerging trends • Business model local consumer behaviour
Conference on Trade and adaptation: Align your and market opportunities.
Development’s World and governmental business model with
Investment Report 2023 policies local costs, especially in 2. Tax and legal study:
highlights that foreign direct personnel expenses. Understand local
investment (FDI) flows to A significant trend is the regulations, legal
Africa reached US$ 45 billion insistence by African • Knowledge transfer: requirements, and
in 2022. governments on local Implement plans for international treaties.
transformation of extracted knowledge transfer
Factors driving FDI in Africa resources, ensuring to integrate and 3. Solid business plan:
local value addition and be recognised as a Develop a detailed plan
• Natural resources: potentially boosting FDI. responsible company. tailored to the African
Africa, with 30% of market.
the world’s mineral Diversity Legal and tax
reserves, offers abundant
and cultural frameworks Regulatory and
opportunities for
exploration, extraction, considerations • OHADA: The Organisation
financial aspects
and export. The continent for the Harmonization of • Investment protection:
It’s crucial to understand the
is also a hotspot for Business Law in Africa Evaluate the legal
economic, legal, and cultural
renewable energy aims to increase legal framework for protecting
diversity across African
investments, especially in certainty in West and investments.
regions for successful
solar and hydropower. Central Africa.
investment and engagement.
• Dividend and capital
• Demographic • Local expertise: Engage transfer: Understand
dynamics: Africa’s rapid Investment local advisors with regulations concerning
population growth, with considerations international experience profit repatriation.
1.4 billion people, 60% of
whom are under 25, drives • Cultural understanding:
• Local currency trends:
demand for infrastructure, Approach investments with Essential steps
Analyse the stability and
agriculture, education, a deep understanding of
cultural nuances.
before expanding trends of the local currency.
and healthcare.
into Africa
• Financing options:
• Local support: Engaging 1. Market study: Conduct Explore local and
the right local partners thorough research on international financing
and professionals is key.
avenues.

2
 TESFA TADESSE

Ethiopia accelerates Managing Partner,

TAY Authorized Accountants
& Auditors,

reform and
Ethiopia

secures growth
Ethiopia is one of the fastest
growing economies in the world
and the country is undergoing
a huge amount of reform
to modernise its economy
and attract investors.

Ethiopia is becoming one of Home-Grown Economic

the fastest growing countries Reform Agenda, which
in Africa, with an estimated runs until 2029/30. It aims
7.2% growth in FY2022/23. to foster efficiency and
A strong growth rate builds introduce competition in
on a longer-term record key sectors such as energy,
of growth over the past logistics, and telecoms. It
15 years where the country’s is also focusing on solving
economy grew at an average macroeconomic imbalances
of nearly 10% per year, such as high inflation, high
one of the highest rates in levels of indebtedness and
the world. foreign-exchange deficits.

But the country still has a lot “The Ethiopian economy has
of problems to overcome, faced different challenges
the biggest being that its emanating from internal
economy is still very much conflicts and the impact
under the control of the of climate change,” said
state. In an effort to open Tesfa Tadesse, Managing
the region up to foreign Partner of TAY Authorized
investment, Ethiopia is Accountants & Auditors, a
moving toward more private Kreston Global firm. “Despite
sector involvement. those challenges, there
have been some remarkable
To encourage this, the developments that help
government has launched fuel growth in the country,
a 10-Year Development particularly in the energy
Plan, based on its 2019 sector. Ethiopia is generating

3 4
cheap electricity from the “Ethiopia is also attracting bank funding and have to supermarket chains can
hydroelectric stations and direct foreign investments provide collateral worth 70% open branches in Ethiopia.”
has been investing heavily to the telecom and fintech of the value of the loan.
in this sector to unleash the sectors,” said Tadesse. Foreign companies now
potential. Now the country The regulator is offering have the right to establish,
has started to sell energy “Geographically, Ethiopia is licences to global and acquire, own, and divest
to neighbouring countries in a favourable location to regional investment banks, most types of business
such as Kenya, Djibouti, link Africa with the Far East, securities brokers and enterprises. While private
and Sudan.” the Middle East and Europe. dealers and credit rating land ownership is currently
The banking sector in the services providers who can not permitted, land can be
China stands out as country has been performing help businesses list shares leased for up to 99 years.
a significant investor, exceptionally well in the on the securities exchange However, the government
accounting for 60% of new past 30 years, while the and issue corporate debt. recently announced plans to
Foreign Direct Investment service industry in general introduce a law that would
(FDI) projects approved, is growing and overtook allow foreigners to own
In March 2024, the
with substantial investments the agriculture sector some real estate, but there is no
in manufacturing and years back.” government lifted almost date yet as to when the
services. Other major all of the restricted legislation will be brought
investing countries include The country has to make business areas to allow to parliament.
Saudi Arabia and Turkey. a lot of changes before it foreign investors
Notable investments include can offer a truly favourable “The government is also
Safaricom’s pledge to invest investment environment, trying to fully liberalise the
US$ 300 million annually for but it took a significant step “In terms of the investment economy,” said Tadesse.
ten years and the United forward in January 2024, laws and the bureaucracies, “Foreign exchange control
Kingdom’s Marriott Drilling when it announced it would there are areas that need may be eased or fully
Group securing financing issue licences to let foreign improvement,” said Tadesse. liberalised. This may
for the construction of two investment banks operate in “In March 2024, the have short term effect of
geothermal power stations the country. government lifted almost all depreciating the value of the
in Tulu Moye and Hawassa, of the restricted business local currency.”
which will be the country’s There are currently no areas to allow foreign
first. investment banks in investors. In the previous Ethiopia is full of potential
Ethiopia, and commercial law, some business areas and certain sectors, such
banks are only able to were restricted for local as fintech, are poised for a
Ethiopia is also attracting investors only. These include
offer limited funding to gold rush. If it can ease the
direct foreign investments businesses due to prudential import and export business, growing pains of a reformed
to the telecom and fintech requirements. Businesses and retail business including economy and currency, it
sectors are currently paying up to running supermarkets. can transform itself.
25% interest on commercial Now the multinational

5 6
Kenya: Africa’s rising DR GEORGE KIMEU
Managing Partner,

economic star
Kreston KM,
Kenya

East Africa is fast becoming the

continent’s economic powerhouse .
Predictions of rapid growth in 2024
are buoyed by tourism, a resilient
supply chain and investment in
infrastructure such as banking and
telecommunications . We spoke
to Dr George Kimeu, Managing
Partner at Kreston KM in Kenya,
to understand his perspective .
Kenya’s Economic Kenya 2030 • Continuous reforms
through various policies,
Outlook Despite these challenges, regulatory frameworks,
the country reported and incentives for
Kenya, located in East Africa,
growth in GDP from 4.8% business growth and
is a country known for its
to 5%. This growth was investments
diverse culture, stunning
attributed to macroeconomic
landscapes, and vibrant
and political stability and • The strategic location of
economy. Over the years,
the implementation of the country, with ports and
Kenya has emerged as one
the priority projects and airports
of the key business hubs in
programmes under the
Africa, attracting both local
current government through • Skilled competitive labour
and international investors.
the Bottom-Up Economic force
Transformation Agenda
Kenya is strategically
(BETA) under the leadership • Large domestic and
located as a regional hub for
of President Dr. William regional markets which
financial, communication,
Ruto, and the country’s long- have contributed to the
infrastructure, agriculture,
term development agenda growth of the tourism
and tourism with a fully
per Kenya’s Vision 2030. sector due to various
liberalised economy.
The current government’s agreements for visa-free
focus on economic reforms, entry to Kenya
Kenya, like many other
technology innovation,
countries, was on a recovery
and diversification of key • Business opportunities in
path in 2021 before the
sectors are some of the various sectors including
onset of the Russia-
key contributors to growth agriculture, ICT, tourism,
Ukraine war in February
thus creating an enabling construction, energy,
2022. The war disrupted
business landscape for and manufacturing
economic activity, leading
investors. sectors. Specifically,
to a slowdown in economic
performance during the technology advancement
second quarter of 2022 Why invest in through e-commerce
onwards. Additionally, the and digital payments
Kenya? has revolutionised doing
prolonged drought adversely
affected economic activity, Various factors make Kenya business in the country.
causing downside risk to the the best strategic region for
medium-term outlook. investors. These include:

8
Business sector with a growing Tax incentives in designated priority
demand for digital services areas, may qualify for a
opportunities and solutions which offers Kenya offers several tax holiday ranging from
in Kenya opportunities in software tax incentives to attract 5 to 10 years, during
development, e-commerce, investors and promote which they are exempt
The digitalisation of and cybersecurity. economic growth. Some of from income tax.
government services the key incentives include:
has made registration of 6. Export Processing
businesses easy through the Kenya’s strategic location 1. Investment deduction Zone (EPZ) Incentives:
Government e-citizen portal. in East Africa makes it a allowance: Investors Companies operating
gateway to the region, can deduct a certain within EPZs enjoy various
Kenya is famous for its offering access to a percentage of the cost incentives, including a
wildlife and stunning of qualifying assets from corporate tax rate of 10%
market of over 200 million
landscape, making tourism their taxable income, for the first ten years
a key sector of the economy people
encouraging investment and 15% thereafter,
that offers business in new machinery, duty-free importation
opportunities in hospitality, equipment, and buildings.
tour operations, and Gateway to Asia of raw materials and
capital equipment, and
ecotourism. Kenya is a member of the 2. Investment deduction exemption from value-
East African Community allowance for energy- added tax (VAT).
Kenya has and is investing (EAC) and the Common efficient equipment:
heavily in infrastructure Market for Eastern and Additional deduction is 7. Double Taxation
development, including Southern Africa (COMESA), available for investments Agreements (DTAs):
roads, railways, ports, and which has helped to in energy-efficient Kenya has DTAs with
energy which provides promote trade and machinery and equipment. several countries to
opportunities for investors in economic integration with avoid double taxation
infrastructure development, neighbouring countries. 3. Initial allowance: on income earned
construction, and Kenya’s strategic location Investors can claim an by investors in both
engineering services. in East Africa makes it a initial allowance on the countries.
gateway to the region, cost of qualifying assets
Other key sectors for offering access to a market in the year the assets are 8. Special Economic
investors to consider include of over 200 million people. acquired and installed. Zones (SEZs):
agriculture, manufacturing, The participation of Kenya in Companies operating
and ICT. Kenya’s fertile land the new trade agreements 4. Investment deduction within SEZs are eligible
offers great opportunities for such as the African for investment in for tax incentives,
agribusiness, value addition, Continental Free Trade Area manufacturing: including a reduced
and agro-processing as (AfCFTA), gives the country Companies engaged in corporate tax rate of 15%
the country is a leading a competitive advantage due manufacturing can claim for the first ten years and
producer of tea, coffee, to available opportunities to an investment deduction 25% thereafter, among
flowers, and vegetables. expand market reach and of up to 150% of the others.
There are manufacturing benefits from reduced trade cost of new machinery
opportunities in sectors barriers within the African or equipment used for These incentives are key
such as textiles and Continent. manufacturing. to creating a competitive
apparel, food processing, environment for doing
and construction materials. 5. Tax Holiday: Some business in Kenya.
Kenya has a vibrant ICT investors, especially those

9 10
Nigeria’s role in Kayode Oni
Senior Associate at
Kreston Pedabo

Africa’s industrial
Nigeria

evolution KAYODE ONI

Kreston Pedabo

Tyna Adediran
Management Consulting
Nigeria is a critical force in Africa’s ambitious Agenda 2063,
Lead at Kreston Pedabo
a sweeping blueprint for the continent’s sustainable socio- Nigeria
economic transformation. Nigeria has achieved significant
milestones in the plan’s first ten years, and Kayode Oni and
Tyna Adediran from Kreston Pedabo, explore the integral
contributions and the broader implications for international
TYNA ADEDIRAN
businesses considering African markets. Kreston Pedabo

Agenda 2063 levels has progressed

steadily during the reporting
Agenda 2063 is Africa‘s period. This is attributed to
development blueprint for remarkable progress and
inclusive and sustainable achievements made towards
socioeconomic growth and the realisation of several
development. African Heads goals and targets of the First
of State and Governments Ten-Year Implementation
adopted the continental Plan of Agenda 2063.
agenda during the golden
jubilee celebrations of the The data in the second
Organisation of African Unity continental progress report
(OAU)/African Union (AU) on the implementation of
in May 2013. Agenda 2063 Agenda 2063 indicates
seeks to deliver on seven that Nigeria has achieved
development aspirations, a 40% score concerning
each with its own goals the goals set for the seven
to move Africa closer to development aspirations.
achieving “The Africa This marks a significant
We Want.” increase of 208%, up from
the 13% recorded in the first
The blueprint contains key continental progress report
activities to be carried out in on implementing Agenda
five Ten-Year implementation 2063.
plans, ensuring that
Agenda 2063 delivers Key areas where Nigeria has
quantitative and qualitative contributed significantly
transformational outcomes to the implementation of
for Africa’s people over a Agenda 2063 include:
50‑year timeframe.
• Increased access to
10-year plan Internet and electricity
The implementation of • Reduced under-five
Agenda 2063 at continental, mortality rate
regional, and national

11 12
• Increased access to anti- water and safely managed Continental Free Trade Area A focus on Nigeria the Nigerian Investment transferability of funds in the customs territory. • Waiver of all import and
retroviral treatment sanitation services. (AfCFTA), have taken steps Promotion Commission through an authorised Registered companies may export licenses.
to harmonise certain aspects In Nigeria, however, efforts regularly consults with dealer in a freely convertible also apply as a separate
• Increased women’s access • Increase in the share of of business laws among have been made to attract crucial Government agencies currency of: entity to operate in an FTZ • One-stop approvals
to sexual and reproductive manufacturing in GDP. member states to facilitate foreign direct investment to negotiate specific that would append the for permits, operating
health services trade and investment. (FDI) through its investment incentive packages in • Dividends or profits (net of company’s name with the licenses, and incorporation
promotion agency, the identified strategic areas of taxes) attributable to the FZE (Free Zone Enterprise) papers.
Key beneficial Nigerian Investment
• Reduced prevalence International businesses investment interest. These investment; suffix to gain the FTZ
of underweight among legislation for aiming to expand into Promotion Commission consultations have led to benefits. • Permission to sell 100% of
under-five children Africa typically need to (NIPC). The NIPC Act an increasingly attractive • Payments in respect of goods into the domestic
international provides the legal framework
navigate a range of legal business environment with loan servicing where a FTZ incentives include: market (in which case
• Reduced the proportion businesses considerations, including for investments in Nigeria tax holidays for pioneer foreign loan has been applicable customs duty
of Official Development investment laws, taxation, and incentivises investors in companies producing obtained; and • Exemption from all on imported raw materials
No specific, unified various sectors.
Assistance (ODA) in the legislation applies to all employment laws, industry- exportable goods, newly Federal, State, and Local shall apply).
national budget international businesses specific regulations, trade established industries in • The remittances of Government Taxes, Rates,
agreements, intellectual The Federal Government manufacturing, or expansion proceeds (net of all taxes) and Levies. • For prohibited items in
looking to expand into of Nigeria has adopted
• Reduced unemployment Africa. The legal landscape property laws, and local of production in sectors and other obligations the customs territory, free
rates content laws, among others. rigorous efforts to ensure vital to the economy. The in the case of the sale • Duty-free importation of zone goods are allowed for
in Africa is diverse, and that areas of concern for
each country has its own Government also grants or liquidation of the capital goods, machinery/ sale provided such goods
• Increased real GDP per Businesses must conduct foreign investors, such as non-tax incentives to non- enterprise or any interest components, spare meet the requirement of
set of laws, regulations, bureaucratic red tapes,
capita and annual GDP and policies governing thorough due diligence and pioneer firms in addition to attributable to the parts, raw materials, and up to 35% domestic value
growth rates seek legal advice tailored to incorporation processes, industry-specific incentives. investment. consumable items in the addition.
international business taxation, capital repatriation,
activities. the country or countries in zones.
• Increased enrolment in which they plan to operate. and visa policies, are • Rent-free land during
relaxed to the fullest extent NIPC Act Foreign Trade
pre-primary, primary and However, some regional Additionally, regulations and • 100% foreign ownership the first 6 months
secondary schools economic communities in business environments can possible to open up Nigeria’s Section 24 of the NIPC Zones of investments. of construction (for
change, so it is advisable to economy to fair competition Act provides that a foreign Government-owned
Africa/Trade blocs, such as and prosperity. Foreign investors can set up
• Increase in the proportion the Economic Community consult legal experts with investor in an enterprise to • 100% repatriation of zones).
businesses directly in Free
of the population with of West African States the most recent and relevant which the Act applies shall capital, profits, and
Consequently, in line Trade Zones (FTZs) without
access to safe drinking (ECOWAS) and the African information. be guaranteed unconditional dividends.
with the NIPC Act 22, incorporating a company

13 14
Inward Zainab Akorede
Associate, Management
Consulting at

investment
Kreston Pedabo
Nigeria

opportunities in ZAINAB AKOREDE

Kreston Pedabo

Nigeria
Kayode Oni
Senior Associate at
Kreston Pedabo
Nigeria

KAYODE ONI
Kreston Pedabo

Tyna Adediran
Management Consulting
Lead at Kreston Pedabo
Nigeria

TYNA ADEDIRAN
Kreston Pedabo

Nigeria, Africa’s most energy, mining, agriculture, skilled labour force, and national operations
populous nation, stands and manufacturing. By a dynamic private sector, necessitate ₦200 billion
as a beacon of investment virtue of the sheer numbers Nigeria stands poised to (from ₦25 billion). This
potential on the continent. and a growing middle class offer lucrative investment development not only
Boasting a population (irrespective of the recent prospects for those looking impacts the banking
exceeding 200 million setbacks), other service to capitalise on the country’s landscape but also presents
people, Nigeria offers a sectors like hospitality, vast potential and contribute investment opportunities
vast and rapidly growing medical, education, financial to its economic growth and for foreign investors keen
consumer market. Its technology, and other development. on participating in Nigeria’s
strategic location in West technology enabled service financial services sector.
Africa provides access to drivers (EduTech, AgriTech, The Central Bank of Nigeria’s
neighboring countries and MedTech, etc.), equally recent announcement Aside from the investment
regional markets within offer immense investment regarding an upward opportunities in the financial
the Economic Community potential. revision of the minimum services sector, there are
of West African States capital requirements for several other investment
(ECOWAS), making it Moreover, ongoing efforts commercial, merchant, opportunities across various
an attractive hub for by the Nigerian government and non-interest banks sectors due to the country’s
investors seeking to tap to diversify the economy in the country has large population, natural
into the broader West away from oil dependence garnered attention. resources, and ongoing
African economy. Endowed and improve the business These new stipulations economic reforms. Some of
with abundant natural environment through set higher standards for these opportunities include:
resources, including oil, regulatory reforms and banks, particularly in the
natural gas, minerals, and infrastructure development commercial sector, where • Oil and Gas Industry:
fertile agricultural land, initiatives further enhance international operations Nigeria is one of the
Nigeria presents diverse its appeal to foreign now require a minimum largest oil producers
investment opportunities investors. With a burgeoning capitalisation of ₦500 billion in Africa, presenting
across sectors such as entrepreneurial spirit, a (from ₦50 billion), while significant opportunities

15 16
 for investment in expansion, power plants, growing urban population challenges and reduce
exploration, production, renewable energy projects, and expanding middle reliance on fossil fuels.
refining, and distribution water treatment facilities, class have created
activities. Additionally, and telecommunications demand for residential, In conclusion, the above
there are opportunities infrastructure. commercial, and industrial is not an exhaustive list
in the natural gas sector, real estate developments. of the inward investment
including liquefied natural • Manufacturing and Investment opportunities opportunities in Nigeria,
gas (LNG) projects, gas Industrialisation: The exist in property as there are more
processing plants, and Nigerian government development, construction specialised sub-sectors
pipeline infrastructure. is actively promoting projects, affordable of the aforementioned as
industrialisation and housing initiatives, and well as several auspicious
• Agriculture and diversification of the real estate investment opportunities that arise in
Agribusiness: With vast economy. Investment trusts (REITs). response to macroeconomic
arable land and favourable opportunities exist in forces and market
climatic conditions, Nigeria sectors such as automotive • Healthcare Services: occurrences. As such, the
offers opportunities for manufacturing, textile There is a growing African continent - with
investment in commercial and garment production, demand for healthcare Nigeria as the largest or
agriculture, including pharmaceuticals, services in Nigeria, driven repeatedly in the top 3
crop cultivation, livestock chemicals, construction by population growth, markets - presents the
farming, agro-processing, materials, and consumer urbanisation, and rising next frontier for global
and agricultural technology goods manufacturing. healthcare awareness. development prospects,
solutions. There is growing Investment opportunities perhaps with admittedly
demand for food products, • Information and exist in hospitals, higher risks mostly
such as rice, wheat, maize, Communication clinics, diagnostic stemming from insecurity,
and livestock products, Technology (ICT): centers, pharmaceutical corruption, and political
providing opportunities for Nigeria has a rapidly manufacturing, medical instability, but also by far,
investors to meet domestic growing ICT sector driven equipment supply, the highest returns possible
and regional demand. by increasing internet telemedicine, and health in similar opportunities in
penetration, smartphone insurance. the global North.
• Infrastructure adoption, and digital
Development: Nigeria innovation. Investment • Renewable Energy: Kreston Pedabo provides
has a significant opportunities exist in With abundant solar, an Industry Spotlight
infrastructure deficit, telecommunications wind, and hydroelectric series that showcases the
particularly in infrastructure, broadband resources, Nigeria offers insights of industry sub-
transportation, power expansion, software investment opportunities sectors in Nigeria, to provide
generation, water supply, development, e-commerce in renewable energy entrepreneurs, interpreneurs
and telecommunications. platforms, fintech solutions, projects, including solar and global leaders a glimpse
Investment opportunities and digital services. farms, wind farms, mini- into the potential of same
exist in road and grid systems, and off-grid for probable investment and
rail projects, airport • Real Estate and solutions to address the economic stimulation.
development, seaport Construction: Nigeria’s country’s energy access

17 18
Africa’s TAREK ZOUARI
Managing Partner,

green
Exco Tunisie,
Tunisia

economy
to create
resilience
Africa has a burgeoning
“green economy.” Tarek
Zouari, the Managing
Partner and founder of
Exco Tunisia, explains.
Africa’s green Investment
economy to create opportunities in the
resilience green economy
Zouari believes that the Renewable energy
green economy in Africa is Renewable energy
set to grow and will play a represents a significant
pivotal role in developing opportunity, with an
resilience for the whole abundance of solar, wind,
continent. hydro, and geothermal
energy resources across
“Not only is there an the continent. Zouari
appetite for foreign believes Africa’s energy
investment, but a growing transition could present a
population means there US$ 100 billion per year
is demand for green investment opportunity,
innovation that creates a with climate-resilient
climate-resilient food supply, infrastructure offering
workforce, and economy.” potential investments
between US$ 130 billion
Zouari also notes the dual and US$ 170 billion.
role of Africa as both a
victim of and solution to Agriculture and
climate change: “This
presents both opportunities
agribusiness
and challenges for Africa’s Sustainable agricultural
future development, practices present an
positioning the continent avenue for investors to
as highly vulnerable to the make a real impact. Zouari
effects of climate change suggests, “Foreign investors
and also a site of great can participate in the
renewable potential as the development of sustainable
green economy evolves.” agriculture projects, invest

19 20
in agribusiness companies green agenda, Zouari for improvement.” They Tunisian Financial Market
that prioritise sustainability, notes, by providing a also play a role in providing Authority (AMF) has issued
or provide financing to framework for measuring, sustainability reporting and a guide on ESG reporting
smallholder farmers to reporting, and managing assurance services, as well for listed companies. The
adopt sustainable farming environmental impact. “With as offering sustainability guide recommends that
practices.” the growing global focus on training and capacity companies report on their
sustainable development, building. ESG performance in line with
Waste management companies operating in the GRI Standards.
and recycling Africa are increasingly
ESG reporting
expected to report on their Mozambique is also taking
“Waste management and
environmental, social, ESG reporting is becoming steps to promote ESG
recycling are also emerging
and governance (ESG) increasingly important for reporting. The Mozambican
sectors in the African green
performance,” he adds. companies across Africa, Stock Exchange (BVM) has
economy,” Zouari continues.
as investors and other launched a sustainability
Investments in infrastructure
He emphasises the stakeholders look for more reporting initiative for
and waste management
importance of adhering to information about how listed companies. The
practices could significantly
these standards, stating, “A companies are managing initiative aims to encourage
improve sustainability across
foreign investment’s ESG their environmental, social, companies to report on
the continent.
principles may determine and governance risks and their ESG performance
their fate in the African opportunities. and to provide investors
Green technology market as governments, with more information
in mining regulators and international South Africa is one of the about how companies are
“Natural resources are a funding bodies such as the leading countries in Africa managing their ESG risks
significant contributor to World Bank, the African when it comes to ESG and opportunities.
continental GDP, so green Development Bank, and the reporting. The Johannesburg
technology is increasingly United Nations, increasingly Stock Exchange (JSE) has Kenya is another country
being adopted in the mining prioritise ESG considerations a Sustainability Reporting that is seeing an increase in
industry as companies in their project approval and Directive that requires all ESG reporting. The Nairobi
seek to reduce their funding decisions.” listed companies to report Securities Exchange (NSE)
environmental impact and on their ESG performance. has launched a sustainability
improve sustainability,” Zouari also stresses the The directive is aligned reporting initiative for
Zouari said. responsibility of the finance with the Global Reporting listed companies. The
and accounting sector Initiative (GRI) Standards, initiative aims to encourage
Accounting’s role to support foreign green which are a set of companies to report on
investment into Africa, “by international standards for their ESG performance
in Africa’s green conducting ESG assessments sustainability reporting. and to provide investors
agenda and audits to evaluate a with more information
company’s environmental, Tunisia is another country about how companies are
Accounting also plays social, and governance that is making progress managing their ESG risks
a critical role in Africa’s practices and identify areas in ESG reporting. The and opportunities.

21 22
Green Hydrogen COUMBA BETTY DIALLO
Communication, Marketing

in Mauritania:
and Organisational
Development Advisor,
Exco GHA,
Mauritania

Advancing towards
sustainable energy
future

Mauritania, aware of the contributions (NDCs) under framework agreements were green hydrogen and its role
current climate challenges, the Paris Agreement. signed with international in global energy transition.
has taken ambitious steps companies specialised in
in energy transition, with Mauritania’s energy energy transition, marking In 2023, these initiatives
a focus on green hydrogen potential relies on several a crucial step in the progressed with
as one of the pillars of its assets. First, the upcoming development of this sector. concrete steps towards
strategy. As climate change exploitation of the offshore the implementation
continues to threaten Grand Tortue Ahmeyim The first agreement, of green hydrogen
populations worldwide, this (GTA) gas field, shared concluded with CWP Global, projects in Mauritania.
Sahelian nation has chosen with Senegal, will provide aims to develop a project International partnerships
to position itself as a key a vital source of liquefied of 30 gigawatts of wind are strengthening, while
player in the fight against natural gas (LNG) to meet and solar energy, powering feasibility studies are
climate change. domestic demand and assert electrolyzers for green advancing, paving the way
itself in the global market. hydrogen production. This for a new energy era for this
Additionally, the country partnership was reaffirmed West African country.
Mauritania has set clear
benefits from a significant at the COP26 climate summit
objectives, including potential in renewable in Glasgow, highlighting the In conclusion, green
reaching a 60% share of energies, particularly solar ongoing commitment to this hydrogen represents a major
renewable energies in its and wind, with estimated initiative. opportunity for Mauritania
energy mix by 2030 capacities of 457.9 GW and to diversify its energy mix,
47 GW respectively. The second agreement, reduce its carbon footprint,
signed with Chariot Ltd in and actively contribute to
Since the adoption The challenge of future partnership with Total Eren, the global fight against
of its national energy energies has led Mauritania involves the development of climate change.
transformation strategy in to explore the potential of the Nour project, covering a
2020, Mauritania has set green hydrogen. Preliminary vast land and sea area. This Through these innovative
clear objectives, including studies have confirmed ambitious project, aiming projects, Mauritania is
reaching a 60% share of the viability of this energy to achieve an electrolysis positioning itself as a
renewable energies in its source, supported by capacity of 10 GW, regional leader in the
energy mix by 2030. This the country’s solar and demonstrates Mauritania’s transition towards a green
approach is in line with wind resources. In 2021, growing commitment to and sustainable economy.
its nationally determined

24
 STEVEN FIRER

South Africa tears IFRS Specialist Consultant,

Kreston SA,
South Africa

up rule book for

risk management

South Africa, despite all ‘South Africa’s economy ‘For South African companies practices and ensure ethical
its resources, is continuing is not slowing down, it navigating the landscape business operations.’
to be a difficult business is barely surviving,’ said of 2024, several key
environment. The latest Firer. ‘We have corruption, considerations should be In terms of risk
fears are that if the South no electricity, and at the forefront of their management, developing
African Reserve Bank (SARB) incompetence. South Africa strategic planning, especially a comprehensive risk
maintains its high interest compared to the rest of the given the challenges management strategy
rates, the country could world has different priorities. posed by corruption and that specifically addresses
experience a recession. We have to rid ourselves competency issues within corruption and operational
South Africa’s economy is of corruption, fraud, and the country,’ said Firer. risks is essential for South
grappling with low economic incompetency. We have too ‘These considerations African firms. This involves
growth and a weakening many reporting rules and can help companies regular risk assessments,
rand. Investment is slowing regulations in a country that mitigate risks, capitalise on the establishment of internal
South Africa has its own unique - the Johannesburg Stock
Exchange has seen a decline
has very few skills.’ opportunities, and foster
sustainable growth in a
controls, and the adoption
of best practices in risk
challenges to growth and if in foreign participation over
the past five years.
Many of the growth areas
that accounting and
complex environment.’ mitigation.

businesses want to thrive, they While it is tempting to look

consultancy firms are
looking to capitalise on in
Top of the list should be
robust governance and
A priority for any firm
looking to make a wise

need to stop following the latest

at what firms are doing in other parts of the world compliance frameworks. investment for its funds
other countries, Steven Firer, simply do not apply to ‘Implementing strong over the coming year is in
IFRS Specialist Consultant South Africa. For instance, governance and compliance its own staff. ‘Addressing
trends and focus on what it takes for Kreston SA, warns that
local firms need to focus
Firer pointed out that local
companies are delisting from
structures is paramount,’
said Firer. ‘This involves
competency issues by
investing in employee
to survive in South Africa. on the trading conditions of
South Africa and divert the
the Stock Exchange as there
are simply too many rules
establishing clear policies
and procedures that comply
development, training,
and retention strategies is
bulk of their resources to and regulations to keep with local and international crucial,’ said Firer. ‘Building
managing them. abreast of. standards to prevent corrupt a skilled and motivated

25 26
workforce can enhance As previously mentioned,
efficiency, innovation, and South Africa has a lot of
resilience against external rules and regulations and
challenges.’ a shortage of professionals
who can keep up with them
Improving communication all. Maintaining a proactive
and building relationships relationship with regulatory
with stakeholders and bodies and staying abreast
outside organisations is the of changes in legislation and
best thing South African compliance requirements is
companies can do if they vital. This includes engaging
want to build a reputation of in dialogue with regulators
trust and credibility in such a to understand expectations
difficult environment. and to influence policy
development positively.
Firer advises companies to
prioritise transparency in If companies want to stand
their operations and out from the crowd, they
decision-making processes. cannot afford to neglect their
This includes open corporate social responsibility
communication with (CSR). ‘Adopting a strong
stakeholders and the CSR approach and
implementation of demonstrating ethical
transparent reporting leadership can differentiate a
practices to build trust and company in a challenging
credibility. market,’ said Firer. ‘This
involves committing to social
‘Embracing technological and environmental
solutions can help mitigate responsibility, which can
the impact of corruption improve reputation and
and incompetencies,’ he stakeholder relations.’
said. ‘Technologies such as
blockchain can offer greater Collaboration, communication
transparency in transactions, and focusing strongly on
while automation and AI their own market is the only
can improve operational way South African companies
efficiencies and reduce are going to thrive in a very
human error.’ difficult environment.

27 28
Tunisia: A beacon TAREK ZOUARI
Managing Partner,

of opportunity in
Exco Tunisie,
Tunisia

the Mediterranean

Tunisia’s evolving economic

landscape offers a plethora
of opportunities for
businesses and investors,
positioning itself as a beacon
of resilience and innovation
in the wake of the Arab
Spring. The country’s
strategic geographical
location, bridging Africa
and Europe, along with its
commitment to fostering
a skilled workforce and
a progressive economic
environment, establishes
Tunisia as an attractive
destination for foreign
investment and business
expansion especially in
agribusiness, aerospace,
infrastructure, renewable
energy (notably green
hydrogen), and IT services.

Trade Agreements
and International
Relations
Tunisia has a wide array of
multilateral and bilateral
trade agreements with
around 127 countries. Key
trade agreements involving
Tunisia include the African
Continental Free Trade Area
(AfCFTA), the Common
Market for Eastern and
Southern Africa (COMESA),
the European Free Trade
Association (EFTA), the
Free Trade Agreement with
EFTA States (Switzerland,

29 30
Liechtenstein, Norway, Arabic, French, and English, in Tunisia. Startups benefit offers compelling incentives.
and Iceland), the General further positions Tunisia from the exemption of For example, Projects of
Agreement on Tariffs and as an attractive hub for income tax and social National Interest, defined
Trade (GAFTA), the Maghreb companies seeking a capable security contributions during as those with a minimum
Arab Union Agreement, and dynamic labour force. the validity of the startup investment cost of fifty
and the Agadir Agreement. Label. Investors benefit from million Dinar (approximately
Additionally, Tunisia has the exemption from capital 15M€) or those creating a
Sustainability
numerous bilateral trade gains tax. Entrepreneurs minimum of 500 jobs within
agreements with various Initiatives benefit from an allocation a 3-year period, are eligible
countries like the UK and Tunisia has implemented given to the co-founder and for a range of benefits.
Pakistan. a national strategy for the shareholder of a startup These include deductions
green economy. The areas at launch to cover living of benefits from the tax
of focus include organic expenses for one year. base over a 10-year period,
Tunisia has taken
farming, eco-tourism, an investment grant up to
significant steps to 1/3 of the project’s cost
nurture a talent pool, sustainable transport and Cost
infrastructure, sustainable capped at 30 M TND, state
especially in science and
eco-buildings, green
competitiveness subsidies for infrastructure
technology sectors industries, ICT, energy Tunisia stands out for development, and a 10-year
efficiency and energy its cost-effectiveness, exemption from employer
use, renewable water particularly in terms of labour contributions.
Highly Skilled conservation and water costs and the overall cost of
Workforce reuse, and integrated waste living. The country boasts Outlook and
treatment management. a cost of living that is 2.31
Tunisia has taken significant The Tunisian Budget times lower than the global
strategic
steps to nurture a Law for 2024 introduces average, positioning it at positioning
talent pool, especially in measures aimed at 190th out of 197 countries in
science and technology In summary, despite its
promoting green finance and terms of affordability.
sectors, through a focus relatively small local market
sustainable development,
on education and skill size, Tunisia’s strategic
offering tax incentives for Recently, the National
development initiatives since location, skilled workforce,
environmentally friendly Institute of Statistics (INS)
the 1960s. This has resulted progressive economic
projects in green, blue, and released its “Employment
in a highly skilled workforce, climate, and commitment to
circular economies. and Salaries” survey for
ranked 5th worldwide sustainability and innovation
2022, shedding light on key
in terms of science and collectively establish it as
insights. The survey reveals
engineering graduates Support for a gateway to Africa and
that the average basic salary
(Global Innovation Index, Europe, offering abundant
startups and in Tunisia for the year 2022
2022), capable of meeting prospects for businesses
entrepreneurship is 924 dinars, approximately
the demands of a rapidly aiming to expand their
276€.
evolving global market. The Implemented in 2018, the presence in Africa or for
multilingual proficiency of Startup Act is playing a key those looking to move closer
Moreover, Tunisia’s
its IT sector employees, in role in promoting innovation to Europe.
Investment Law of 2017

31 32
A bold NAJAT MOUGHIL
Partner,

economic
Exco ACDEN,
Morocco

agenda
In recent years, Morocco
has undergone significant
transformations, positioning itself
as a formidable player on the global
stage. This strategic repositioning
has not only altered perceptions of
the North African nation but has also
greatly influenced the landscape for
doing business within its borders.
Morocco’s emergence as a global
player has ushered in a wave of
opportunities.

A bold economic Concerning Europe, of several free trade

Moroccan exports are agreements with the world’s
agenda primarily aimed at the major economic players,
Positioned at the crossroads Old Continent, comprising Morocco offers a favourable
of Europe and Africa, approximately two-thirds of environment for investing in
Morocco plays a pivotal role the country’s total exports. various sectors: aeronautics,
in linking the economies of automotive, textiles, leather,
both continents, fostering Casablanca Finance City, an agri-food and aggrotech,
trade, investment, and economic hub hosting over electronics, tourism,
collaboration in various 200 international companies, information technology,
sectors. is crucial in Morocco’s role infrastructure and even
as a bridge between Europe energy.
Morocco is a member of and Africa.
the African Union and the In order to strengthen its
leading investor in West Thanks to its geographical position as a logistics hub,
Africa. Major Moroccan location and political Morocco made important
institutions such as stability, strong and investments in logistics
Attijariwafa Bank, Bank of modern infrastructures, the projects, in ports and
Africa, and the OCP Group, a implementation of ambitious railways. In the automotive
leading player in phosphate sectoral strategies, high- and aeronautical sectors,
and fertilizer production, speed industrialization, Morocco’s logistical role
now exert significant the development of green has already grown and
influence in Africa. energies and the signing investments in production

33 34
facilities and logistical The hosting of the 2030 Such a robust economic In recent months, the to put Morocco on a more a sustainable future for abundance of wind and solar reach 52% of renewables in
solutions have been made. World Cup will provide agenda requires the Moroccan government solid and equitable growth all its citizens. On March energy resources. With the its power capacity.
Morocco’s automotive Morocco with a unique implementation of has officially launched the path. 11th 2024, the Moroccan world’s largest photovoltaic
industry, aircraft parts opportunity to extend complementary social registration process for government made an official plant already in operation, Morocco’s strategic
manufacturing and mining its influence beyond the reforms to ensure its the Direct Social Support announcement unveiling the North African nation repositioning as a global
Morocco’s
are traditional industries continents of Africa and benefits are equitably program. This program is the “Morocco Offer,” aimed is committed to swiftly player has significantly
that offer important export Europe, as the tournament distributed and accessible. devised to offer direct aid sustainable at nurturing the growth reducing its carbon footprint. transformed its business
opportunities. could inject up to US$ to families, particularly journey: Leading of the green hydrogen Furthermore, prominent landscape, attracting an
1.2 billion into the Moroccan those in need, including sector. Prime Minister Moroccan companies such influx of international
Morocco’s strategic in renewables and
Morocco is also moving economy. In preparation, school-age children, released a circular outlining as OCP Group, demonstrate investors. With many
forward with various policies the country plans extensive social policies children with disabilities, environmental a framework of incentives remarkable commitment projects in progress, such
to unleash the potential of upgrades to stadiums and Amidst efforts to fortify newborns, economically and assistance for potential to integrating renewable as the gas pipeline between
the private sector, including infrastructure, aiming to vulnerable families, and initiatives project developers. This sources of water and Nigeria and Morocco, the
businesses, a parallel
reform of the vast network attract investments through consideration arises for those supporting elderly The government’s proposition targets investors energy into their production country is poised to become
of public enterprises and a incentives. Tourism is also initiatives aimed at enhancing individuals. The program’s commitment to social keen on manufacturing processes. an even more significant
revision of the investment expected to boom. Banks the welfare and security of aim to improve socio- welfare is paralleled by its green hydrogen and player on the global stage.
charter. will benefit from increased Moroccan households. economic conditions will ambitious environmental its byproducts and has The alternative energies,
infrastructure financing, while foster economic stability, agenda. Just as the Direct attracted approximately energy efficiency and
the telecoms sector will see The efforts have so far benefitting businesses Social Support program a hundred domestic and the circular economy are
The 2030 World Cup will
higher traffic and investments focused on the social operating in the country. aims to uplift Moroccan international investors. becoming the most attractive
provide Morocco with in 5G technology. Despite the sectors in Morocco.
sectors, with a landmark households, the “Morocco
a unique opportunity costs, the World Cup offers The Moroccan authorities Morocco possesses
initiative to expand access Offer” seeks to elevate
to extend its influence Morocco a lucrative return remain committed to an the country’s standing significant potential for In 2030, the country
to national health insurance
beyond the continents of on investment and a lasting and family allowance ambitious program of in the renewable energy advancing its renewable aims to reduce its energy
Africa and Europe national legacy. systems. structural reforms designed sector, thereby securing energy sector, thanks to its consumption by 15% and to

35 36
Key contacts

ALGERIA CÔTE D’IVOIRE MALI MOZAMBIQUE SENEGAL UGANDA

Kreston M&P Algeria Exco ECA Exco EGCC Kreston Mozambique Exco Senegal Kreston HM
Alger Centre Rue Polyclinique des 2 plateaux Rue 25 Porte 271 - Badalabougou Cnr Rua Valentim Siti & Av Kwame Keur Gorgui Immeuble Hermès I Suites B-3 & B-4
39 Rue Larbi Abidjan Est Nkrumah 2nd Floor Floor 2
Ben M’hidi 06 BP 2708 Bamako No 1067CP 883 N ° 16 BP10700 Corner House
Alger Centre Maputo Dakar Plot 436-437
Algeria [email protected] Mawanda Road
[email protected] ETHIOPIA MAURITANIA Kamwokya

TAY Authorized Accountants Exco GHA Mauritanie

SOUTH AFRICA Kampala
NIGER P.O. Box 10901
& Auditors 80 Ilot C Kreston South Africa
BENIN Uganda
Ethio-China Friendship Street Rue 26014 KSAR- Exco FCA Crestway Office Park
[email protected]
Exco Fiduciaire d’Afrique Wengelawit Tadesse Building Ouest,Nouakchott,4897 61 Rue des sorkhos Block E
(FIDAF) Floor 1 Mauritania Niamey 20 Hotel Street
Rue Lagunaire n ° 840 Offices 1, 2 and 4 [email protected] BP 07 Persequor
Addis Ababa 0020 Pretoria
ZIMBABWE
Cotonou
01 BP 663 P.O.Box: 1335 [email protected] Kreston Zimbabwe
Benin [email protected] MAURITIUS NIGERIA Office Block A
[email protected] Ground Floor
First Island Trust & Kreston TSS Kreston Pedabo
TANZANIA Smatsatsa Office Park
GABON Suite 308 St James Court St Denis 67 Norman Williams Street Borrowdale
Street South-West Ikoyi Kreston Kairos
BURKINA FASO 263 Harare
Exco Libreville Port Louis Lagos City Plaza
[email protected]
Exco Ouagadougou Les Frangipaniers building [email protected] 101233 Floor 7
34 Rue 3.49 – Cité Sitarail Boulevard de l’Indépendance [email protected] Office 7.2
Ouagadougou Libreville Jamhuri Street
[email protected] MOROCCO (near New Post Office)
[email protected]
RÉUNION Dar es Salaam
Exco ACDEN PO Box 76195
Boulevard Ghandi Exco Cogefi
CAMEROON KENYA [email protected]
Ghandi Mall 24 rue Jean Cocteau 100 résidence
Exco Fidaco Kreston KM Block 8 Anaxagore
Carrefour avenue germaine Surveyors Court Floor 5 St Denis TUNISIA
B.P.4971 Yaoundé Block B 20 380 97490
Woodvale Grove Casablanca Reunion Exco Tunisie
Cameroon
Westlands, P.O. Box 66837 [email protected] Avenue de la Bourse
[email protected]
Nairobi Imm. Diar Sidi Mansour MA01
[email protected] RWANDA Les Jardins du Lac
Exco AB Partners 1053
CONGO 36 A Boulevard d’Anfa 6ème RUMA
Tunis
Exco Cacoges étage20000 4 KG 2 Ave
MADAGASCAR Kimihurura
[email protected]
Résidence les Flamboyants Casablanca
Exco Afrique [email protected] Kigali,P.O.BOX 2611
Eucalyptus Building n ° 7 - 2nd floor
Les Jardins d’Ivandry 2 Building Rwanda
side A - BP.113
Brazzaville Lot II J 165 [email protected]
Ivandry
Antananarivo

37 38
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