An international financial expert and co-founder of the Bloomsberg News Media, Matt Winkler, has described Africa as a rising star.
Speaking at a virtual meeting organized by the Bloomberg Media Initiative for Africa, BMIA, recently, on the topic: Africa 2020: Economies, Companies and Markets amid Covid-19, Winkler said Africa would still continue to be the great destination for many, adding that the continent will drive the socio-economic growth.
He said growth occurs when there is demand and the people in Africa with their teeming population of mostly young people will drive the demand. According to Winkler, investors are attracted to places where there is a rising tide with so much activity. He pointed out that after the pandemic , Africa will undergo a major change, not unusual for the rest of the world.
“Africa has what it takes to be the investment destination of the future. Africa has a teeming population of young people who will propel production and consumption”, he quipped.
He, however, noted that to make it happen, the government need to invest in the people; improve on the quality of life of the people, through education and technology, build infrastructure, health care, transportation etc.
Winkler explained that to bring about the desired change, governments need to work in collaboration with the Central Banks using effectively the combination of the fiscal and monetary policies, for a much better chance of growth.
He projected that some industries in Africa will fare better after the Covid-19, stressing that the airline industry, especially in Kenya will rebound; and the communication industry will witness a surge in business activities, as is already doing.
So far, this year alone, communication companies in sub-Saharan Africa led all countries in Africa with a total return of 22 per cent, twice the 9% earned by the global health care companies, the No 1 performing industry in the world, according to economists’ forecast.
Of all the African countries, Six of them: Egypt, Ethiopia, Ghana, Ivory Coast, Rwanda and Uganda rank among the top ten fastest growing countries in the world, experts forecast.
Matt Winkler expressed optimism that the United States interest in Africa will be revived after Trump’s presidency, adding that United States ought to be investing in Africa, and should do all it can to work closely with the continent; while dismissing the current influx of China into Africa, pointing out that there are a lot of strings attached.