Top 10 business opportunities in Africa

Due to several factors, Africa remains trailing other continents in terms of development with a lot of its resources remaining under utilised or not exploited at all. This presents a huge opportunity to investors to exploit these untapped opportunities on the continent and make millions of dollars in profits

The following are some of the best business opportunities in Africa which investors should consider exploiting for a great deal of returns;

1. Real estate and Housing

As a fast-growing continent with improving standards of living of people across the continent the demand for better housing facilities is increasing by day in most of African countries. Better housing is especially needed in areas near urban centers in Africa which have a big population of those working in such towns who need to live near their work places. Investment in real estate to provide such facilities is now one of the booming businesses across the continent and this is expected to continue being the case given the increasing

2. Tourism and Travel

Africa has one of the best tourism destinations in the world with some of the globe’s best attractions. These include the wonderful Victoria Falls in Zimbabwe, trekking the endangered mountain gorillas in the Virunga Mountains of Rwanda, Uganda and D.R Congo, game viewing in large safari parks in South Africa and Kenya, visiting the historical pyramids of Giza in Egypt, among others. This huge tourism potential on the continent provides investors with a lucrative opportunity in setting up tour companies, accommodation facilities like hotels and lodges and offering transport and guiding services.

3. Industry and Manufacturing

Due to limited use of advanced technology on the continent, majority of African countries are exporting most of their products in raw form with little or no value added. Mineral, agricultural and forestry products are mostly exported in raw form which deprives the continent of millions of dollars due to lack of value addition. Manufacturing is also still a big challenge with most of the manufactured products used on the continent like automobiles, drugs, electronics and machines still being imported from abroad. This therefore avails a huge opportunity to investors to reap huge returns in setting up these much-needed processing and manufacturing firms across the continent.

4 Banking and other financial services

The growing economies across the continent increase the need for banking and financial services which are still insufficient and under developed. The increasing investment opportunities expand the need for financial assistance in terms of loans and this is where financial agents like banks can come in and help and also be able to make good returns.

5 Education services

Africa at large still lacks good quality education institutions especially at higher levels of learning like universities. The need to attain high quality education across the continent is evident as students continue to leave for better universities in Europe and in the US.

6. Commercial agricultural production

Due to lack of capital and technology, agricultural production in Africa has remained largely subsistent. But this sector is still very productive across the continent given the favorable natural factors like fertile soils, and good weather conditions characterized by both dry and wet seasons. Africa is very fruitful in production of cash crops like coffee, tea, vanilla, cotton, while food crop production on a large scale is still insufficient. Large scale livestock farming also presents another investment potential given the high demand for livestock products both locally and internationally. The increasing hunger problems in several parts of the world have fueled the need for more food supply and this is a big opportunity for those who are willing to invest in agriculture.

7. Health services

For a long time, Africa has been associated with poor health care and this explains the high mortality rates across the continent. There is a big gap to be filled in the health sector by establishing high quality facilities which has seen many people cross to other parts of the world in search for such services especially to Europe, India and US.

8. Online stores

With the increasing use of electronic devices like smart phones, tabs and computers across Africa, online shopping is a new trend on the continent. Many people across the continent are increasingly resorting to online shopping given its convenience in delivery and payment methods while at the same time saving customers from poor quality products from unknown sources.

9. IT and internet services

Due to the increasing need for the use of technology by modern businesses in Africa, both IT and internet service providers are on high demand across the continent. Both small and large businesses need to go online while internet use has become one of the major necessities at work places. There is a health competition among a few internet service providers on the continent like telecom companies which has kept attracting many more such companies to start up their operations in different regions across the continent.

10. Waste management and recycling

Waste management is one of the major challenges in many parts of Africa especially in urban centers. Poor waste disposal is the order of the day in such areas and this has even defeated the cities’ authority to control hence becoming a big sanitation, health and environmental problem. There is therefore a huge need for waste management and recycling companies to handle this waste which majorly include both plastic and glass bottles, polythene bags, domestic waste, among others.

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