Business News by Leo Odera Omolo In Kisumu City
The Common Market for Eastern and Southern Africa States converged in the Egyptian capital, Cairo, this week with more than 500 industry leaders, international investors and Ministers from more than 19 African countries.
There is weigh to emerging opportunities and challenges for doing business among member states.
The Comesa Investment Forum, whose primary aim will be to identify and assess the investment opportunities and implications associated with doing business in East and Southern Africa, will seek among other things, to encourage investment in these regions by addressing issues that are critical for dong business and define action-oriented strategies to mitigate risks facing it.
According to a note posted from the office of the Comesa Secretary General Sindiso Ngwenya In Lusaka, Zambia, “the business landscape in Africa is continuously undergoing change, and the Comesa region, as a vibrant emerging investment destination, is the least understood market, where information is generally scarce or even stale.”
“It is this that the investment summit will intend to address, specifically the opportunities on offer.”
Mr Ngwenya message says “the Comesa region and Africa in general could be the last frontier for development since the continent will soon be driving the world’s economic expansion.”
He cites the expanding level of consumption and per capital income as some of the drivers of growth.
With a population of more than 430 as at 2008 and annual import bill of USD 152 billion and an annual export bill of over USD 157 billion, Comesa forms a major marketplace for both internal and external trading.
Research and studies shows by 2015, Comesa which is Africa’s largest economic community will be commanding a market size of over 500 million customers.
Despite the squeeze on world economies last year, it grew by an average of five per cent, way above the world average of one per cent. For the past 10 years, though, the region’s economy has been between six and seven per cent, a clear indication that the fundamentals are on track.
A year ago, a conference on the North-South Corridor was held in Lusaka where more than USD 2.5 billion was raised to finance road and energy projects.
Currently, studies are being carried out on the establishment of the Central Corridor that will run through Tanzania, Burundi, Rwanda and Eastern Congo. The Northern Corridor is expected to cover Djibouti, and Addis Ababa. Only last month, Comesa and the European Comission, during a meeting in the Kenyan capital, Nairobi, committed more than USD 23 million to support the region’s infrastructure.
The Cairo forum comes amid reports that Comesa is inching closer towards unified trade regulations with the South African Development Community {SADC}, a development that will see the creation of a free trade area.
The Egypt event is specifically designed to promote dialogue and action between investors, business leaders and senior policy makers to create the necessary framework and drive investment opportunities and growth in Comesa region and Africa as a whole.
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leooderaomolo@yahoo.com