Individuals
Businesses
Company
Intelligence
News
African Capital Markets
EnglishEnglish

Investors update: Africa received ~$32bn investments from India in the last decade

3 min Read July 5, 2023 at 12:43 PM UTC

Daba finance invest in Africa

Africa received ~$32bn investments from India in the last decade

Highlights

  • Africa has become the second-largest recipient of credit from India as the country tries to catch up with China in expanding its influence in the continent. 
  • Forty-two African nations received about $32 billion or 38% of all credit extended by India in the last decade — just a few percentage points below its neighbors, per Harsha Bangari, the managing director of India’s Export-Import Bank. 
  • The South Asian nation has also opened up 195 project-based lines of credit worth about $12 billion across Africa, three times the number it has in its own region in the last decade.

Source: Bloomberg


Our Takeaway

India has recently tried to engage with nations in Africa, the second-largest continent in the globe, but its efforts have trailed behind those of its larger and wealthier neighbor—China. In the 10 years to 2020, Beijing pledged $134.6 billion to African nations, almost 11x more than what India has offered. The scramble shows Africa remains a major geopolitical player with an undeniably huge economic potential that cannot be ignored by the developed world and reflect an increasing realization that the resource-rich continent will play an important role in the global economy over the next couple of decades.


SecondSTAX, ASEA join forces to unify Africa’s stock markets

Highlights

  • SecondSTAX, a Ghanaian fintech that provides access to stock markets for institutional investors, recently signed an agreement with the African Securities Exchange Association (ASEA) to unify Africa’s stock markets. 
  • Founded in 2020, the startup’s suite of investment tools includes an order management and execution routing system for brokerage firms and institutional investors as well as full access to data and company research from all of ASEA’s participating exchanges.
  • The company recently raised $1.6 million in pre-seed funding from private investors and venture capital firms for its technology, which provides access to debt and equity securities in Accra and Nairobi’s bond and equities markets.

Source: IBS Intel


Our Takeaway

With a combined market capitalization of around $1.6 trillion, of which South Africa’s Johannesburg Stock Exchange (JSE) accounts for $1.36 trillion, most of Africa’s exchanges are too small for major investors to concentrate on a single market. Needless to say then that the continent stands to gain a lot from interconnected capital markets, which would deepen the capital pool available to both private and public sector players through the cross-border listing, issuance, and trading of financial securities across the region.


Kyosk acquires KwikBasket to launch fresh produce business

Highlights

  • Kyosk Digital, a digital-first and data-led distribution platform, has expanded into the African fresh produce market with the launch of its Farm & Fresh line of business.
  • This follows on the back of Kyosk’s recent acquisition of KwikBasket, a player in the distribution of agricultural produce and other services and solutions provided to farmers, commercial kitchens, and other stakeholders in the food chain.
  • With the launch of Farm & Fresh, Kyosk hopes to combine its digital-first approach and large-scale operations with KwikBasket’s agricultural venture to boost the African fresh produce market, creating a more efficient and inclusive ecosystem.  

Source: TechCabal


Our Takeaway

The African retail market is valued at approximately $600 billion and is projected to grow at a rate of 5% to 6% annually. Kyosk has so far focused on serving small retail outlets and traditional retailers, which account for over 60% of retail trade in Africa and are primarily located in low-income, informal urban communities. The platform helps them order products directly from FMCGs without the need for intermediaries, gaining access to competitive prices and cost savings. And now, Kyosk looks to replicate its success so far in the agricultural space; supporting farmers with technology. 

This material has been presented for informational and educational purposes only. The views expressed in the articles above are generalized and may not be appropriate for all investors. The information contained in this article should not be construed as, and may not be used in connection with, an offer to sell, or a solicitation of an offer to buy or hold, an interest in any security or investment product. There is no guarantee that past performance will recur or result in a positive outcome. Carefully consider your financial situation, including investment objective, time horizon, risk tolerance, and fees prior to making any investment decisions. No level of diversification or asset allocation can ensure profits or guarantee against losses. Articles do not reflect the views of DABA ADVISORS LLC and do not provide investment advice to Daba’s clients. Daba is not engaged in rendering tax, legal or accounting advice. Please consult a qualified professional for this type of service.

Share this post
share on twittershare on linkedinshare on facebookshare to whatsapp
share on mail
share on instagram
Stay informed with our newsletters read by 25,000+ professionals worldwide
Newsletter companiesNewsletter companiesNewsletter companiesNewsletter companiesNewsletter companiesNewsletter companies

Next Frontier

Stay up to date on major news and events in African markets. Delivered weekly.

Pulse54

UDeep-dives into what’s old and new in Africa’s investment landscape. Delivered twice monthly.

Events

Sign up to stay informed about our regular webinars, product launches, and exhibitions.

+25k investors have already subscribed

Take action.

Download app

Start investing in Africa’s best opportunities, including stocks, bonds, startups, venture funds, and more.

Partner with us

Unlock exciting business opportunities and growth potential.

Join Daba

Become a part of our vibrant community and enjoy exclusive benefits.

Contact us

Reach out to us for inquiries, support, or collaboration.
For Investor
StrategiesPortfolio ManagementAfrican Capital MarketsNews
Daba Pro Intelligence
For Capital Seekers
For StartupsFor Fund ManagersFor Private CompaniesFor Lenders
For Partners
Commercial BanksBroker DealersAsset ManagersInvestment BanksInvestment Advisors and ConsultantsLenders and Microfinance
Company
About UsMarket UpdatesEventsBlog and PodcastNewsletterCase StudiesAffiliate ProgramInvesting GlossaryOfficial ContactsTrust, Compliance and SecurityFrequently Asked Questions

Terms & ConditionsPrivacy Policy
EnglishEnglish

Owned by Daba Markets Inc. By using this site, you accept our Terms and Conditions and Privacy Policy. © 2024 All rights reserved. 2025 All rights reserved