News Column

Africa Offers Opportunities for SME Growth

February 25, 2014

ECONOMIC growth in sub-Saharan Africa in 2004, is expected to be slightly higher than that of 2013, according to the International Monetary Fund (IMF).

IMF says in its latest report that growth would be at around six per cent.

"This growth, coupled with the more than one billion consumers on the continent who spend $600 billion annually....provides African small and medium enterprises (SMEs) with boundless opportunities in 2014.

Mr Charles Brewer, Managing Director of DHL Express, says that SMEs are clearly the growth engine for Africa and the critical driver for sustainable economic growth.

"According to Deloitte, Africa's middle class has tripled over the last 30 years and the current trajectory suggests that the African middle class will grow to 1.1 billion in 2060.

"As African economies are some of the fastest growing in the world, the outlook for the continent is very positive going forward."

"Manufacturing, on a large scale, is still somewhat embryonic in Africa and as such, there is a definite opportunity for SMEs to fill the gaps which are not being serviced by these large global companies.

"As important, a growing SME base will create hundreds and thousands of new jobs, which is an absolute must for this ever growing continent."

Tanzania's DHL Country Manager Abdul Abeid said the firm would this year focus on safety and security of parcels being handled by the company.

He said he was impressed by expansion of infrastructure in the country including construction and upgrading roads, airports and sea-ports.

For more stories on investments and markets, please see HispanicBusiness' Finance Channel

Source: AllAfrica

Story Tools