Long considered an attractive investment destination in the otherwise troubled Horn of Africa, Djibouti’s reputation is at risk following the government’s controversial seizure of the DP World-operated Doraleh Container Terminal (DCT). The unilateral termination of DP World's contract has raised concerns over the stability of the country’s investment environment and may damage investor confidence in the longer term.
The recent introduction of new mining regulations has created uncertainty within Tanzania’s banking sector, as the government attempts to further maximise the country’s economic benefits gained from its abundant natural resources by limiting the involvement of foreign-owned banks in mining-related businesses.
Uncertainty over recent changes to Tanzania’s mining laws and regulations has created an increasingly unpredictable operating environment within the country’s mining sector. While many western companies already operating in Tanzania remain reluctant to commit their future to such an uncertainty, China is exploiting emerging opportunities to gain entry into the country’s lucrative mining sector.
Although the majority of trade in Africa is by sea, the continent’s ports are performing far below their potential in terms of efficiency. To rectify this imbalance, there is an ongoing trend towards increased private sector participation, and the transition from the public service port to a landlord port model.
While it is widely agreed that the illicit practice of trade misinvoicing is costing African countries billions of dollars a year, the scale of the issue remains to be debated. It can be argued that the potentially over exaggerated estimates of misinvoicing in Africa being quoted by highly-respected and influential international institutions may in some cases be counterproductive, adversely affecting their investment environments.
Ghana’s extensive renewable energy resources are attracting increased attention from investors around the world. However, despite a sizeable market offering that holds significant long-term growth prospects, Ghana’s renewable energy sector is still relatively underdeveloped, and continues to suffer from weak and unclear policies and regulations.
The liberalisation of the DRC’s insurance sector, spearheaded by legislation opening the market to international players, is attracting increased attention. However, despite a sizeable market offering that holds the promise of growth prospects, the country’s challenging operating environment may serve to deter potential investors. As with any regulatory overhaul, teething issues are expected.
Under pressure to maintain Ethiopia’s economic growth, the government is keen to attract increased investment in its nascent manufacturing sector. A growing consumer market, a stable economy, and a large and relatively cheap labour pool, is an equation that is bound to attract interest from companies across the globe.
Italian oil company Eni’s most significant natural gas discovery off the coast of Mozambique in 2011 has served to strengthen both economic and commercial relations between the two countries. With both keen to take advantage of the burgeoning relationship, Italian investments in Mozambique are only expected to increase over the coming years.
The Senate’s passing of the Petroleum Industry Governance Bill is a small, but significant, step towards the long-awaited restructuring of Nigeria’s troubled oil and gas industry. It is through the PIGB that the government hopes to open up the sector to more and better business opportunities through increased transparency, better accountability and clearer regulations.
Investment and religious connections have emerged as the driving forces behind the Gulf’s relationship with Africa. Qatar, lacking its neighbours’ religious, cultural and economic connections to the continent, appears to have been less effective in garnering African support.
In a matter of weeks, the introduction of three new laws has completely changed the legal and regulatory landscape of Tanzania’s extractives industry, risking the country’s reputation as one of Africa’s most attractive investment destinations. As Acacia has discovered, this emerging environment is not a welcome one.
  • 1 (current)
  • 2