Segmenting Africa into meaningful markets
RisCura has identified meaningful regions in Africa by analysing synergies, attractions, flaws, cultural differences and business practices.
How Africa's regions compare
Nigeria still has the largest economy in Africa, followed by South Africa and The Maghreb region. Across all countries, agriculture, manufacturing and the wholesale and retail trade sectors contribute the most to GDP.
Africa’s links to the globe
East Asia and Western Europe remain the continent’s most significant import region; with China being the top import partner for machinery, electronics, vehicles, mineral fuels and cereal.
The cost of moving goods domestically can also be up to five times higher in Africa than in the US, but the African Continental Free Trade Agreement seeks to tackle challenges facing trade within Africa.
Currency risk – Exchange rate regimes
Most African countries have a pegged exchange rate regime, with conventional pegs being the most popular.
Currency risk – The Milk Index
The Milk index infers price levels across the markets, seeking to identify under and overvalued currencies against the US dollar.