Kenya Tops the Charts as Africa's Premier Investment Hub - Report

In the latest report from research-based firm Briter Bridges titled "Africa Investment Report 2023," Kenya has emerged as the top choice for investors seeking opportunities in Africa.

Over the past year, Kenya has managed to secure Sh131 billion ($806 million) in investments, while Egypt has received Sh110 billion ($675 million). Nigeria and South Africa have also attracted significant investments, with Sh93 billion ($575 million) and Sh92 billion ($565 million) respectively. The report highlights how these four countries have successfully cultivated an environment that is conducive to investment, making them highly attractive options. Moreover, they serve as strategic hubs for businesses looking to expand into nearby countries.

During the specified timeframe, Rwanda ranked sixth among nations in terms of attracting investments, with a total investment of Sh57 billion spread across various projects. Tunisia, Benin, and Ghana also received substantial funding, with amounts of Sh57 billion, Sh74 million, and Sh11 billion respectively. In contrast, Tanzania and Uganda have gained attention as emerging investment hubs in 2023. While Kenya, South Africa, and Ghana have been leading in investment deals, closing over 500 transactions collectively, other locations are now emerging as potential funding hotspots. This shift is driven by significant deals or the entry of new investors into previously unexplored areas.

Tunisia and Rwanda have made significant progress in securing funding that rivals the leading four countries. This advancement can be attributed to substantial investments in companies such as Zipline and InstaDeep. The funds have been distributed across a range of industries, including fintech, cleantech, health, IT, agriculture, e-commerce, and entertainment. Fintech represented over 23 per cent of the investments in 2023. However, its growth was impacted by the introduction of specialized funds, which redirected investments towards sectors like health and biotechnology, climate and cleantech, and logistics.