How can Africa become more competitive in global context?

Africa, often described as the 'future of the world,' is a continent brimming with untapped potential and abundant opportunities. The recent Africa Investment Forum served as a platform for key stakeholders, including prominent investors and leaders like Ibrahim Magassa, the Chairman and Managing Director of Algest Investment Bank, to come together and discuss the possibilities of unlocking Africa's attractiveness and sealing investment prospects. In a recent interview with CNBC Africa's Kenneth Igbomor, Magassa delved into the key factors that could propel Africa towards greater competitiveness in the global context. Magassa emphasized the importance of thorough project preparation and market feasibility studies, highlighting that the fundamental challenge facing Africa is the readiness of projects for investment. He underscored that the continent boasts a wealth of resources, a burgeoning market, and ample opportunities, but the key lies in ensuring that projects are well-prepared and primed for financing. Magassa made a clarion call to Development Financial Institutions (DFIs) to establish facilities that would aid governments and large corporations in conducting studies and preparing projects, thereby facilitating investments in tangible ventures rather than mere ideas. He commended the African Investment Forum for showcasing projects like the road infrastructure connecting Ghana, Cote d'Ivoire, Nigeria, and Lome, which are ripe for investment due to their comprehensive studies and readiness. Magassa articulated his firm's commitment to investing 100% of its portfolio in Africa, focusing on priority sectors such as infrastructure, gas and oil, digital ventures, and real estate. He emphasized the importance of innovative finance approaches that rely on project viability and cash flow rather than sovereign guarantees. Moreover, Magassa stressed the need for extensive investments in critical sectors like agriculture, agribusiness, and energy, pointing out that Africa's burgeoning population presents both challenges and opportunities. Regarding Africa's potential to address global energy challenges, Magassa highlighted the continent's capacity to emerge as a significant player in the energy sector and emphasized the importance of self-reliance in mitigating external risks. He noted that as Africa enhances its refinery infrastructure and harnesses its energy resources, it can play a pivotal role in supplying gas to regions like Europe and bolster its energy security. Despite the prevailing challenges, Magassa expressed confidence in Africa's ability to overcome obstacles and realize its potential as a leading global player. He lauded the efforts of African governments in addressing key issues and fostering a conducive business environment that attracts investments and drives sustainable development. In conclusion, Magassa's insights underscored the imperative of strategic project planning, innovative financing models, and targeted investments in critical sectors as the linchpins to unlocking Africa's competitiveness and catalyzing its trajectory towards a prosperous future.