Why Africa?

Because the African Lion has been aroused from his sleep, and he's roaring!

The early 90's saw the awakening of the "Asian Tigers"-China, South Korea, Malaysia, Singapore, India. Today, from the Kalahari to the Kilimanjaro, from the Nile to the Niger, from Cape Town to Cairo, from Dakar to Dar Es Salaam , and from the Sahara to the Serengeti, the African Lion has been aroused from his sleep, and roaring, and Chinese investors are listening. So should you. How much have Chinese companies and individuals invested in Africa?  **China’s Minister of Commerce, Chen Deming, stated in mid-2012 that as of the end of 2011, China’s cumulative FDI in Africa “exceeded $14.7 billion, up 60 percent from 2009.”  Also in mid-2012, China’s ambassador to South Africa, Tian Xuejun, in a wide ranging speech on China-Africa relations, said: “China’s investment in Africa of various kinds exceeds $40 billion, among which $14.7 billion is direct investment.” He did not explain the difference between investment of “various kinds” and “direct investment.” 

 **Source: David Shinn, Adjunct Professor, George Washington University - From the article "China's Investment in Africa", from the eNewsletter, China & US Focus, Nov 1, 2012

There's a reason they call Africa "The Bread basket of the world"

According to Professor Shinn, more than 2,000 Chinese companies have invested in Africa. Most of the investment has gone into energy, mining, construction and manufacturing.  China’s state-owned oil companies are active throughout the continent. The China National Petroleum Corporation, for example, invested up to $6 billion in Sudan’s oil sector.  The China Power Investment Corporation plans to invest $6 billion in Guinea’s bauxite and alumina projects.  Privately-owned Huawei and publicly-traded ZTE have become the principal telecommunications providers in a number of African countries. While most of their activity is sales, their operations are so large in some countries that they have established huge local offices.  Increasingly, Chinese companies are moving into finance, aviation, agriculture and even tourism.  In 2007, for example, the Industrial and Commercial Bank of China purchased 20 percent of South Africa’s Standard Bank for $5.5 billion. Ever since, China has invested increasingly in the financial sector of African countries.

 

  What did the Chinese see in Africa to spur such a massive investment so quickly?

The Chinese saw a population of about 1 billion people who, individually, are not in debt to their eyeballs like many people in the United States and Europe....a market with virtually little or no competition.....a huge return on investments far better than any stock market or investment company could offer in any country in the world.....a business environment not dictated by the ups and downs of unstable currencies and manipulated stock markets in the United States, Europe or Asia.....a people whom "the Ponzi Schemers" have not ponzied their pockets and "the Madoffs" have not made off with their money.....a culture where bankruptcies are virtually non-existent, and defaulting on any debt is still considered a major taboo. Above all, a people rich in a "culture of gratitude" towards anyone who invests money to provide much needed jobs, infrastructure, utilities, goods and services they desperately need.

 

With Trillions of dollars in the red, the United States is in debt to its eyeballs and Wall street is not liable for your investment loses. European economies are in shambles, turning Greece, Spain, Italy, and Portugal into pariah nations. South America is very language and culture conscious, the Middle East is unstable and violent, Australia and New Zealand are too far away, and many Asian markets and investments are over-regulated and controlled by "draconian" government policies. Where then should you put your money in these troubled financial times? The answer is Africa- the new investment paradise.

 

We created this website to link investors with investment seekers. Many of our employees were born and raised in Africa, but got their great quality education from some of the best Colleges and universities in the United States, Canada, Australia, Europe and others. They understand the business culture in Africa because they were born there or have lived there. Above all, they understand the importance of being honest and truthful with investors and investment seekers at all times.