Daily News Egypt

Egypt – The Suez Canal Economic Zone (SCZONE) witnessed the opening of the Silicon Valley factory and the Infinix brand production line on Tuesday, in the industrial zone in Sokhna.

The factory, which is the first of its kind in Egypt, the Middle East, and Africa, specializes in manufacturing wearable mobile phone accessories, such as smartwatches and Bluetooth headsets.

The opening ceremony was attended by Walid Gamal El-Din, Chairperson of the SCZONE, Walid Youssef, Vice President of the Authority for the Southern Region, and Abdel Moneim Al-Khawaga, Chairperson of the Silicon Valley factory for electronic industries.

The factory, which was built on an area of 1,350 square meters, operates three production lines for mobile accessories, with a production capacity of 3,000 pieces per day for one production line. The total investment of the factory is EGP 25m, and it employs 65 Egyptian workers trained in the latest manufacturing techniques. The factory aims to provide more than 150 job opportunities in future production stages.

The factory manufactures all accessories for the Chinese company Transsion Holding, which is one of the largest global companies in mobile phone manufacturing and accessories, and the market leader on the African continent. Infinix, one of the brands of Transsion Holding, had previously announced that it would continue to manufacture its products in Egypt within the framework of the President of the Republic’s initiative to localize the electronics industry in Egypt, “Egypt Manufactures Electronics.”

The head of SCZONE expressed his happiness at the opening of the Infinix brand production line in the Silicon Valley factory, which is a new achievement of cooperation between SCZONE and the industrial developer “TEDA – Egypt”, whose investments in the region amounted to more than $2bn.

He stressed that the technological industries are of great importance within the Authority’s plans to localize its industries, especially since the location of the economic zone makes it a center for African markets. He added that the infrastructure equipped with the highest standards in the industrial areas and ports is one of the most important investment incentives. He also pointed out that the small industries sector receives great attention from the Authority because it is a promising industrial sector and is consistent with the economic policies of the Egyptian state in recent times.

The Silicon Valley factory has obtained international quality certificates, ISO 9001 and 45001, and is built on the latest technological systems and equipped with the latest testing and quality equipment to bring Egyptian products to the global level. The Silicon Valley factory also produces accessories for the Chinese companies G-Tide, Infinix, Oarimo, and Itel, as well as UniTronics brand products, owned by Uni Group, which owns the factory.

Reuters News

South Africa recorded foreign direct investment inflows of 53.8 billion rand ($2.8 billion) in the second quarter of 2023, up from inflows of 0.5 billion rand in the first quarter, central bank data showed on Thursday.

The South African Reserve Bank said in its Quarterly Bulletin that the acquisition of a domestic beverage company by a non-resident firm contributed to the increase.

Heineken said in April that it had completed the purchase of wine and cider company Distell.

Second-quarter portfolio investment outflows fell to 4.6 billion rand from 32.0 billion rand in the previous quarter, the Quarterly Bulletin said. 

Bizcommunity.com

Africa has long been a sought-after destination for leisure travellers and in recent years, a growing trend has emerged, demonstrating that business tourism in Africa is making significant contributions to the continent’s overall tourism GDP…
Africa, known for its breath-taking landscapes, rich cultural heritage, and diverse wildlife, has long been a sought-after destination for leisure travellers. However, in recent years, a growing trend has emerged, demonstrating that business tourism in Africa is making significant contributions to the continent’s overall tourism GDP.

In fact, tourism – both business and leisure – showed a sizable surge of 78.2% in the first half of 2023 on arrivals to South Africa when compared to the same period in 2022 with the latest reports showing that business spending represents a share of 43% of overall tourism contributions.

“This development reflects the increasing recognition of Africa’s potential as a hub for international conferences, conventions, and corporate events. This remarkable growth can be attributed to several factors that have combined to make Africa an increasingly attractive destination for business travellers,” says Devi Paulsen-Abbott, chairperson of the Association of African Exhibition Organisers.

According to Paulsen-Abbott, there are five key factors contributing to the rise of business tourism in Africa:

1. Infrastructure investment

African countries have made substantial investments in infrastructure development, such as modern airports, state-of-the-art convention centres, and top-notch hotels. These facilities have enhanced the continent’s capacity to host large-scale business events, conferences, and exhibitions.

2. Improved connectivity

Enhanced connectivity through expanded flight routes and airline networks has made it easier for international business travellers to access African destinations. Major airlines have increased their services to African cities, providing convenience for corporate travellers.

3. Political stability

The continent’s political stability in many regions has fostered an environment conducive to hosting international business events. This stability has increased confidence among organisers and attendees alike.

4. Economic growth

Africa’s emerging economies and growing middle class have attracted more business investment. As a result, the continent has become an attractive location for global companies to expand their operations, leading to an influx of business travellers.

5. Cultural diversity

Africa’s diverse cultures and unique experiences are increasingly incorporated into corporate events and conferences. This blend of business and cultural experiences adds to the allure of the continent.

As business travellers explore African destinations, they often extend their stays to explore the continent’s natural beauty and cultural heritage, contributing to the growth of leisure tourism as well.

According to the World Travel and Tourism Council, the travel and tourism sector contributed 7.6% to global GDP last year alone – an increase of 22% from 2021 and only 23% below 2019 levels – showcasing the contribution of business tourism on the global GDP.

Business tourism has also led to job creation and economic empowerment in local communities which has a ripple effect on various sectors, including hospitality, transportation, and local businesses, thereby fostering sustainable economic development.

“Industry experts and stakeholders see this trend continuing in the coming years, with Africa poised to become a premier destination for international business events. Governments and tourism authorities across the continent are recognising the potential of business tourism and are actively working to attract more conferences and conventions,” adds Paulsen-Abbott.

Africa’s rising prominence in the world of business tourism signifies a new era for the continent, one in which it plays a pivotal role in shaping the global business landscape while sharing its unique cultural and natural treasures with the world.

Bizcommunity.com

Succeeding as an entrepreneur in South Africa is trickier now than ever before. Slow economic growth, high inflation and load shedding create a cocktail of challenges that are especially formidable for small and medium businesses. But one award-winning startup owner has found a way to circumvent the obstacles while staying true to the core values driving her, inspiring other entrepreneurs to stay the course during these troubled times.

Reitumetse Kholumo, Kwela Brews

Reitumetse Kholumo has achieved more than most people twice her age. At 25, she’s graduated with a degree in chemical engineering from UCT, become a business owner, and won multiple innovation awards. And she’s done it all while managing debilitating fibromyalgia. What truly sets Kholumo apart from the crowd, however, is the passion she has for her business idea – that it can help to preserve and promote indigenous knowledge systems and beliefs while uplifting communities and creating jobs.

Her business, Kwela Brews, brings the brewers of traditional African beer together under one brand, where she provides business expertise, marketing as well as new markets and customers. She helps improve conditions for brewing and supports home brewers by making them aware of legislation and compliance issues. “There is a stigma attached to African traditional beer, but not many people know that, when brewed according to old recipes, African traditional beer is very healthy and nutritious, high in Vitamin B and amino acids with good bacteria for the gut.”

With a grandmother and great-grandmother who were homebrewers, the tradition is a firm part of Kholumo’s family heritage. But the entrepreneurial bug really bit her when during her undergraduate degree in chemical engineering, the class was taken to South African Breweries (SAB) to witness how beer was made industrially.

When she graduated in 2021, her grandmother and other family members expected her to go into a well-paying corporate job, but Kholumo knew it wasn’t for her. “Initially, I thought I wanted to be a brewer but then I realised that by using my skills in engineering and design thinking, I could drive social impact and really support home brewers in a more meaningful way.”

A design thinking course that Kholumo took in 2021 was instrumental in shaping how she set up her business. A strategy for tackling complex challenges, design thinking is used in business and development work, policy making and other sectors. It prioritises human experience when designing solutions, consulting extensively with the prospective users of whatever product or services one conceptualises. This invariably leads to uncomfortable discoveries – like Kholumo saw herself, when a brewing machine she acquired for home brewing was rejected by the brewers.

“Design thinking teaches you to not become too attached to your solutions. Even if you are a chemical engineer, you don’t necessarily know the answer to a particular problem. You have to fail fast, to try something else, to see what works in a real situation,” she says.

Entrepreneurs need to learn this lesson quickly, the sooner the better. According to Angus Bowmaker-Falconer, SA lead on the Global Entrepreneurship Monitor South Africa report, much needs to be done to improve the entrepreneurial landscape in South Africa. He talks specifically about creating enabling environments, improving the confidence of entrepreneurs, and addressing their fear of failure.

According to a recent news report, African entrepreneurs say their biggest challenge is funding and access to finance. But as entrepreneurial support company, Founders Factory Africa’s co-founder Sam Sturm says: “Money doesn’t solve problems. People solve problems.”

Kholumo agrees with this. But often, there is pressure from potential funders regarding expectations to make money. This can make life tough for entrepreneurs as there are limited supportive spaces, which nurture them to grapple with the problems. She advises entrepreneurs to be aware of how long it can take to secure funding and how difficult it is to rely on financial support and therefore to be conservative with your initial capital and input. Research shows up to 80% of small businesses in South Africa fail in the first five years of business and Kholumo believes that taking things slowly can be a more sustainable way of operating in the long run.

Since starting Kwela Brews in October 2021, she has worked steadily to build the business and spread awareness, focusing on fomenting relationships with home brewers in their own communities. As the company’s only employee – who is also undertaking a master’s degree full-time – there is only so much time and energy she can dedicate to the business. She believes that slow and steady growth is not only more sustainable in the long run, but also healthier for her.

By definition, entrepreneurs are risk-inclined and highly self-motivated. Kholumo is risking more than many in this arena, but she is also compelled by a deeper mission. “Having my own levels of being disenfranchised as a black woman living with disabilities, I’m even more motivated to leverage the privilege that I have,” she says. “I want to imagine a world in which the various systems of oppression no longer exist.”

Africa Business

Africa, known for its breath-taking landscapes, rich cultural heritage, and diverse wildlife, has long been a sought-after destination for leisure travellers. However, in recent years, a growing trend has emerged, demonstrating that business tourism in Africa is making significant contributions to the continent’s overall tourism GDP.

In fact, tourism – both business and leisure – showed a sizable surge of 78.2% in the first half of 2023 on arrivals to South Africa when compared to the same period in 2022[1] with the latest reports showing that business spending represents a share of 43% of overall tourism contributions.[2]

“This development reflects the increasing recognition of Africa’s potential as a hub for international conferences, conventions, and corporate events. This remarkable growth can be attributed to several factors that have combined to make Africa an increasingly attractive destination for business travellers,” says Devi Paulsen-Abbott, Chairperson of the Association of African Exhibition Organisers.

According to Paulsen-Abbott, there are five key factors contributing to the rise of business tourism in Africa:

Infrastructure Investment

African countries have made substantial investments in infrastructure development, such as modern airports, state-of-the-art convention centres, and top-notch hotels. These facilities have enhanced the continent’s capacity to host large-scale business events, conferences, and exhibitions.

Improved Connectivity

Enhanced connectivity through expanded flight routes and airline networks has made it easier for international business travellers to access African destinations. Major airlines have increased their services to African cities, providing convenience for corporate travellers.

Political Stability

The continent’s political stability in many regions has fostered an environment conducive to hosting international business events. This stability has increased confidence among organisers and attendees alike.

Economic Growth

Africa’s emerging economies and growing middle class have attracted more business investment. As a result, the continent has become an attractive location for global companies to expand their operations, leading to an influx of business travellers.

Cultural Diversity

Africa’s diverse cultures and unique experiences are increasingly incorporated into corporate events and conferences. This blend of business and cultural experiences adds to the allure of the continent.

As business travellers explore African destinations, they often extend their stays to explore the continent’s natural beauty and cultural heritage, contributing to the growth of leisure tourism as well. According to the World Travel and Tourism Council, the travel and tourism sector contributed 7.6% to global GDP last year alone – an increase of 22% from 2021 and only 23% below 2019 levels – showcasing the contribution of business tourism on the global GDP[3].

Business tourism has also led to job creation and economic empowerment in local communities which has a ripple effect on various sectors, including hospitality, transportation, and local businesses, thereby fostering sustainable economic development.

“Industry experts and stakeholders see this trend continuing in the coming years, with Africa poised to become a premier destination for international business events. Governments and tourism authorities across the continent are recognising the potential of business tourism and are actively working to attract more conferences and conventions,” adds Paulsen-Abbott.

Africa’s rising prominence in the world of business tourism signifies a new era for the continent, one in which it plays a pivotal role in shaping the global business landscape while sharing its unique cultural and natural treasures with the world.

The East African

The Stock Exchange of Mauritius (SEM) has opened a window for Kenyan investment banks and stockbrokers to trade on its market platform, potentially opening up new offshore investment options in the Indian Ocean Island State.

SEM’s chief executive Sunil Benimadhu said in the exchange’s 2022 annual report that a new automated trading system (ATS) installed last year will allow the integration of foreign intermediaries.

Allowing foreign members onto its ATS will allow the SEM to tap into a wider pool of investors, with the move coming at a time when African exchanges have sought to boost cross-border trading to improve liquidity and trade activity in their markets.

Last November, seven African exchanges, including the Nairobi Securities Exchange (NSE) and SEM, launched the African Exchanges Linkage Project (AELP) which is meant to facilitate cross-border trading of securities in Africa.

Read: African stock markets inch closer to integrationThe AELP is a flagship project of the African Securities Exchanges Association (ASEA) and the African Development Bank (AfDB).“The new ATS of the SEM has facilitated the integration of remote members to our platform. Consequently, despite the difficult economic environment, the SEM will work towards attracting remote members, initially from South Africa and Kenya, during the financial year 2022/ 2023,” said Mr Benimadhu.“The objective of this initiative is to increase the investor base of our market and attract more global order flows to our platform”.

The Mauritian exchange has been looking to compete with European platforms as a host for African capital-raising ventures, including the issuance of sovereign bonds.

The exchange currently offers a multi-currency platform, through which it hopes to attract the participation of foreign stockbrokers.

The market also offers a raft of fiscal incentives to investors that include no withholding tax on dividends, no capital gains taxes, free repatriation of profits, capital and interest, as well as double taxation avoidance treaties.

The incentives are meant to help widen the pool of investors in its capital markets beyond the relatively thin population of the island nation.

Read: Kenya charms diaspora to capital marketsThe Mauritian exchange has about 100,000 account holders, who hold about 17.2 billion shares with a market capitalisation of Ksh1.09 trillion ($7.4 billion).

In the past decade, Mauritian financial sector firms have established a presence in Kenya, following a growth in bilateral investment flows between the two countries after the inking of a double-taxation agreement in 2012.

Some key deals include the acquisition of Fidelity Bank and assets of the collapsed Chase Bank by SEM-listed financial services group SBM Holdings and in the capital markets, fund manager Axys’ acquisition of stockbroker ApexAfrica Capital.

A number of Kenyan firms have also moved the other way, establishing offices there to take advantage of more favourable tax laws. 

Nigerian Tribune

President Bola Tinubu has urged the National Association of Securities Dealers Automatic Quotation System (NASDAQ) to seize the immense opportunity available in Nigeria for investment without fear.

He made the call on Wednesday as he rang the closing bell, becoming the first African president to ever receive this honour at the establishment.

However, former President Goodluck Jonathan rang the closing bell of the New York Stock Exchange (NYSE) in 2013.

Related Posts2023 Presidency: I refused to be stopped — TinubuClean up Ogoniland, compensate natives, Ogoni-American organisations, MOSOP urge Tinubu Let’s be patient with Tinubu , CAC President tells Nigerians

Tinubu’s invitation to NASDAQ was part of his push to attract foreign direct investment into Nigeria.

The president said, “It’s a great honour for me to be here. I am happy to bring Nigeria to your doorstep, and I am honoured that we are here today with a bubbling Nigerian stock market that will evolve in the West African sub-region.

The greatest economy in Africa is Nigeria, and there is immense opportunity in Nigeria where you can invest your money without fear.”

The President noted that his government continues to address problems and impediments, such as the restoration and unification of the foreign exchange rate market to a stable and trustworthy level, allowing new investors to easily bring their money into the country, free of worries about whether or not they can take their money out at any point in time.

“You’re free to bring in your money and take it out. I count on you to invest in Nigeria,” the president said.

At the Nigeria-U.S. Executive Business Roundtable held just after the closing bell, President Tinubu assured prospective investors that while he recognises that investment capital is often cautious, he intentionally brought successful Nigerian industrialists and public officials to share their experiences and operational plans, respectively, in addition to all that he has already done to boost the confidence of the global investment community in Nigeria’s presently reforming fiscal, monetary, regulatory, and tax policy environment.

He further said, “Nigeria is an opportunity that is impossible to replicate or find elsewhere in any part of the world.

We have brilliant young people who innovate and consume on a large scale. Our entrepreneurial spirit is a major part of what makes our market unique, aside from demography.

Nigerians build businesses, and Nigerian businesses partner with others to conduct larger business.

“There is enough value to spread around. Be careful of what you hear about Nigeria.

You may be dissuaded from a major opportunity that others will take up. We are here for you. We will give you all the support you need to succeed and succeed abundantly.”

Speaking on behalf of the U.S. Government, U.S. Deputy Treasury Secretary, Wally Adeyemo, told the country’s business leaders that he had just come from Lagos, Nigeria, where he was on an official visit that later became a fact-finding mission.

“In Lagos, I saw firsthand some of the major reforms you implemented as the Governor of Lagos and the transformative effect they have had on Nigeria’s commercial capital.

People have attested to the fact that the reforms you have put in place as president are quickly enhancing confidence. American business is paying attention to that, and from what we have seen for ourselves, Nigeria is proving to be a new frontier for investment.

We will encourage our companies from our end as those reforms continue to deepen,” Mr Adeyemo said.

The American Business Council President, Mr Sops Ideriah, said that the extensive turnout at the roundtable by American Business Chief Executives served as a testament to the degree to which confidence is rising in response to the actions and words of President Bola Tinubu’s administration regarding ease of business, investment promotion, and his willingness to personally intervene where required to ease the historical concerns of American business people about doing business in Nigeria.

“Having all the stakeholders in the room, His Excellency the President of Nigeria being here, from government actors at the federal and state level to ministers and tax authorities present, as well as private sector industrialists in Nigeria, we are very positive about the potential of Nigeria, and we are just reinforcing to our colleagues the message about the economic opportunities that exist there,” Mr Ideriah said.

In his remark, Acting Chairman of the Federal Inland Revenue Service (FIRS), Mr Zacch Adedeji, assured the American Captains of Industry that under the leadership of President Bola Tinubu, the nation’s apex tax authority will focus its efforts not on taxing the seed but only on the proportionate taxation of the fruit of fully formed industry through efficient policy synergy with Nigeria’s sub-national authorities.

“The President is a business enabler, not a handicapper. Everything we do will be geared towards making your tax assessment and payment processes as digitally efficient and transparent as possible.

We are not after the seed, but the fruit and we will keep to this commitment.”

Bizcommunity.com

Locations such as The Isle of Man, that have recently welcomed more than 35 South African companies, including Standard Bank, Microgaming, Nedbank and Derivco to name a few, would have been the obvious choice to expand internationally and set up new operational bases.
This is thanks to an easy visa process for businesses, financial incentives that cover the cost of emigration and set up, the lowest tax rates in the world and none of the usual capital requirements that most countries insist on.

However, economic stability is no longer the deciding factor when it comes to choosing where to work, live and play. In fact, considerations such as the weather, location, quality of schools, hospitals and travel opportunities now all rank higher than ever before.

A desk with a view

The Western Cape Provincial Government has made its ambitions to establish Cape Town as the forerunner of the tech space very clear and is already ranked in the top emerging startup ecosystems in the world.

One of the main contributing factors towards this is the infrastructure to sustain a hybrid working model. This is not optional, neither is working in a space that doesn’t inspire you or an environment where you aren’t encouraged to grow.

The competition is so fierce to attract and retain the right employees that both local and international corporations are now offering packages that include consideration for your mental and physical health and lifestyle options for you and your family.

With Cape Town and its mix of cultures, oceans, mountains, vineyards and weather that is conducive to an active lifestyle, employees are choosing the Mother City as their new work placement home.

Western Cape’s ‘Silicon Valley’

South Africa attracts many professionals and big multinationals. It’s currently home to more than 75% of all top global companies in Africa. South Africa also recorded the second-highest number of start-ups, after Nigeria.

The 2021 report from fDi Intelligence, a data division of the Financial Times group, shows Cape Town is one of the world’s fastest-growing regions for foreign direct investment.

Workshop17, a successful fully-serviced coworking business with seven national properties and 5,000 members, has noticed a sharp increase of both international and domestic businesses, partly due to the number of foreign direct investment (FDI) projects, especially in the software and IT services sector.

Approximately 58% of their members are freelancers and sole traders, with the majority of these operating in the technology industry such as programming and design. Larger tech companies that have made the flexible model their base with them include CV Labs, Flutterwave and Nedscaper.

Record number of inbound employees

Paul Keursten, chief executive officer and co-founder of Workshop17, says, “Over the past year we have recorded our largest number of inbound travellers signing up as members at The Watershed and then at our Kloof Street locations.

The local vs international sign ups has shifted to an increase in International satellite company hybrid setups. Companies are looking at the best ways to retain their teams, regarding lifestyle requirements as a top priority, and then a place where they can plug in with flexibility, regardless of a break in municipal services such as load shedding.

And the CBD isn’t alone, we’ve recently signed TASC who prefer the more residential Newlands location.

Workshop17 has ranked other cities with international satellite offices and puts Johannesburg second and Ballito, KwaZulu Natal coming up a surprising third with a 60/30/10 split.

Nigerian Tribune

Heirs Holdings Group Chairman, Tony O. Elumelu, has urged the Indian private sector to seize the opportunity to invest in Nigeria.

He stated this during the Nigeria-India Presidential Roundtable and Conference in New Delhi, India, jointly organised by the High Commission of Nigeria to India, the Confederation of Indian Industry (CII) and the Nigeria-India Business Council (NIBC), recently.

Elumelu, who has built pan African financial service businesses and now controls significant power and natural resources operations, all focused on value creation in Africa, was in Delhi for the G20 Summit,.

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he was in India both as an invitee of the President of the Federal Republic of Nigeria, H.E. Bola Ahmed Tinubu, and as co-chair of the Business 20 (B20) Action Council, focusing on African economic integration, the private sector counterpart to the G20.

During a keynote address, Elumelu invited Indian private sector leaders to join him and other global investors in accessing the rapidly evolving Nigerian economy, home to 20 per cent of Africans and one of the largest consumer populations globally.

“This is the time to invest in Nigeria. I speak as a private sector investor in Nigeria, the companies in our Group’s investment portfolio demonstrate the opportunity. I believe you also can take advantage of our track record and success,” he said.

At the presidential roundtable, hosted by President Bola Tinubu, Indian investors pledged investments of nearly $14 billion to Nigeria, following the Nigerian president’s commitment to create the enabling environment for foreign investments to thrive.

“Nigeria is a huge market; over 200 million people with the largest economy on the continent.

“Most importantly, the population is not just over 200 million people; the demography of the population is exciting. We have a cohort of young people who are there to consume, and we also have people who are intelligent, energetic, hardworking, who provide the human capital that investors need to drive their businesses,” he added.

Tony Elumelu, was recently named co-chair of the Business 20 (B20) Action Council focusing on African economic integration, alongside Sunil Mittal, Founder of Bharti Enterprises (Owners of Airtel). Established in 2010 within the G20, the B20 comprises corporate business enterprises and organisations and serves as the official platform for dialogue between the G20 and the global business community.

Heirs Holdings is a leading pan-African investment company. Its investment portfolio spans the power, oil and gas, financial services, hospitality, real estate and healthcare sectors, operating in twenty-four countries worldwide.

Heirs Holdings is inspired by Africapitalism, the belief that the private sector is the key enabler of economic and social wealth creation in Africa. Driven by this philosophy, Heirs Holdings invests for the long-term, bringing strategic capital, sector expertise, a track record of business success, and operational excellence to companies we invest in.

Reuters News

Nigeria is seeking an economic cooperation pact with India as well as Indian investment in rice farming, Nigeria’s trade minister said in New Delhi on Wednesday.