By 2050, the young world population will be made up of 35% Africans, against only 15% in 2000. For now, 30% of the African population is under the age of 14 and the trend is towards quality and dematerialized education, especially if it bears the seal of foreign investment.
According to statistics, Africa has around 260 million students in 1.5 million schools and around 27 million students out of a population of 600 million people under the age of 25. For these schoolchildren and students, African governments devote about 5% of their GDP, the second highest investment of this type in the world.
Despite everything, Sub-Saharan Africa, which lacks a million teachers, has 61.4% of young workers who do not have the level of education necessary to be productive once on the job market. In addition, at a time when we are told that 27% of African children are out of school (excluding DRC, Côte d’Ivoire, Madagascar and Kenya), Africa must also prepare to send an additional 170 million people to school. ‘by 2030.
This young population has ambition. By supporting it financially, over time, investors will be at the origin of growth capable of surpassing that of the United States or even China! Better yet, by actively encouraging employability, short training courses linked to the jobs of tomorrow to make people quickly employable, they will help it, perhaps, to uproot permanently the conflicts which are currently plaguing this continent with incredible potential.
It is high time for investors to look to their own future, which lies in Africa. The lack of funding will finally allow African governments to relax regulations, shorten processing times, train teachers, to name just these needs.
Investing in entrepreneurship in Africa: we must encourage the creation of companies, very small and medium-sized enterprises!
In order to unlock employment growth in Africa, we must also take a close and financial interest in its entrepreneurial sector. Today, the situation is rather bitter: flight of young graduates, many obstacles to entrepreneurship, particularly cultural and political, reluctance of banks to lend to entrepreneurs, too cautious to trust locals, a capital market unsuitable for small projects, an unfavorable regulatory environment and infrastructures that need to be reviewed, red tape … Africa has the lowest rate in the world when it comes to business creation.
Despite everything, African entrepreneurs are embarking on business creation, trying everything to achieve their ambitions. Evidenced by the $ 701.5 million raised by startups on the continent in 2020, while the market is emerging.
Africa must become a continent of entrepreneurs and for that, we must close the funding gap for startups and SMEs which currently stands at 140 billion dollars. This money will be used upstream to improve human resources management and create a better balance with the informal market, the largest African employer at present.
Invest in energy in Africa: renewables, a new windfall for investors
We are on the eve of a demographic transition! To welcome migrants from rural areas, African cities must review their infrastructure and why not, in the medium or long term, transform themselves into smart cities for some (a market valued at nearly $ 1.4 billion alone) .
However, how can the continent prepare for its own future when we know that African regulatory bodies have great gaps? That the business climate is not conducive to long-term investments? That the taxation can change overnight? That the production sites and the electricity distribution network are very dilapidated? The consequences speak for themselves: 57% of Africans do not yet have access to electricity! Worse still, Africa’s population will double by 2050.
Today more than ever, foreign funding can help public authorities to change the situation. Thanks to investments from external sources, Africa will be able to put in place more organized, healthy and clear procurement processes. Finally, it will be able to structure the production, transport and distribution of energy according to the regions and their needs.
Education, entrepreneurship, energy, these are three promising sectors in Africa for foreigners wishing to invest in the development of this extraordinary continent, with too long underestimated potential, but whose economic growth is close to 10%. , according to World Bank figures!
Nicolas Goldstein, administrator of FrenchTech Maurice, and co-founder ofTalenteum.Africa
