The East African region has recorded the highest share of Foreign Direct Investment (FDI) across the continent, achieving 26.3 per cent of total projects with Kenya being among the region’s major beneficiaries.
This is according to Ernst & Young (EY) 2016 Africa attractiveness programme report.
South Africa
The research further confirmed that Southern Africa remained the largest investment destination across the region, though projects went down by a marginal 11.6 per cent in 2015 as compared to those recorded in 2014.
West Africa
The West Africa region saw a rebound in FDI projects as investments jumped 16.2 per cent, making the region the leading recipient of capital investment on the continent, outpacing Southern Africa. North Africa experienced 8.5 per cent year-on-year growth in FDI projects.
North Africa
The data indicates that while projects are increasing in North Africa, they are increasing at a much faster rate in Sub-Saharan Africa.
“Over the past year, global markets have experienced unprecedented volatility as well as the collapse of commodity prices,” said Ajen Sita, Africa CEO at EY.
Sita added that Africa’s two largest markets, South Africa and Nigeria, saw GDP growth decline sharply to below one per cent.
