Prospects are looking up for African states that are making it easier to do business in them. Economic growth can be built on the continent’s natural mineral wealth, with Harry Kenyon, Rio Tinto chief executive for diamonds and minerals, telling a mining industry conference in Cape Town that demand for iron ore, copper and aluminium is expected to double over the next 15 to 20 years. The effects are already being felt. “It is estimated that the sub-Saharan African economy will grow by 5.3% in 2011, with individual economies – such as Nigeria and Angola – projected to grow at over 7%. Clearly, there is increasing confidence in Africa’s economic potential as a collection of diverse emerging markets with much to offer the global economy,” Moses Kgosana, chairman and senior director for KPMG Africa and chief executive of KPMG South Africa, told the inaugural “African Conversation” convened by KPMG in Johannesburg recently. According to Nicolas Maweni, an independent marketing and communications consultant, multinationals are showing increasing interest: “One reason is that places like Europe and the US are not experiencing rapid rates of growth. Africa is now presenting these large companies with great opportunities,” he said. “From a regional perspective, East Africa represents a powerful market comprising five countries and 130 million consumers,” said Josphat Mwaura managing partner at KPMG in East Africa.
