Opportunities and risks in Africa's cement market

The cement industry in sub-Saharan Africa is experiencing the strongest growth ever, with multiple investments planned across the region to boost production.

The region produced 116 million metric tons of cement in 2013, led by Nigeria, South Africa and Ethiopia, while Angola is fast-emerging as a big hub for production.

A new analysis by Ecobank Research says the outlook for the sector is promising, but there are risks for investors and companies.

Courtesy of Ecobank Research, Frontier brings you a complimentary copy of the analysis to keep you upto date on trends in the sector.

Get the report now and learn:

• Why cement output is surging
• Who are buying cement
• Which countries have opportunities for cement exporters

 @EcobankResearch  

Click on this link to get the cement report

Ecobank Research is the research team of pan-African Ecobank Group, and has been the recipient of the Best African Research Team award for three consecutive years – 2011, 2012 & 2013 – under the Africa Investor Index Series Awards. Ecobank Research is dedicated to providing the highest quality research for our clients to help them navigate the complex African marketplace. Our research team is probably the largest in any private financial institution that is dedicated purely to research on ‘Middle Africa’ and comprises a dozen analysts based in Ecobank’s affiliates in London, Paris, Abidjan, Accra, Lagos, Nairobi and Harare. We are passionate about Africa, and our team of seasoned analysts based across Ecobank’s 34-country footprint draws on its extensive local knowledge to provide insights for clients and identify investment opportunities and strategies. Our focus is on Middle Africa – the region between North Africa and the Rand Zone, which has the richest potential for growth but is poorly understood. We produce regular market updates, briefing notes and detailed studies on the region’s macroeconomics, currencies, fixed income, equities, commodities and trade. We also have a research hub co-ordinating LocalKnowledgeAfrica™ the research team’s bespoke advisory and research initiative serving corporate clients in Africa and world-wide.

10 secrets to winning tenders

By Kristina Mills

If you think about it, sealing that deal is all about salesmanship. It is all about addressing the needs that your prospect wants to be fulfilled as well as proving you fulfill those needs in the most results-oriented ways.

Below are the top 10 rules to follow when preparing your tender document.

To find out their needs, always call them

When you phone your prospect, don't just ask for a copy of the tender document or a list of specifications. You need to find out why they are calling for tenders, what is important to them and why they want to undertake the project. Have a conversation with them and get to know them a little better, to discover what they are all about. You would be surprised how much information you can find out. This would be priceless information when going through the process of creating the tender.

Follow the salesmanship formula that is already proven

Instead of just talking about being able to carry out the work, start by identifying their problem, or the core reason that they included that criterion. Then you can talk briefly about the downside of the problem. When you have done that, you can talk about the solution - how you are really going to get their needs fulfilled. You need to include specifics about the mechanics behind the processes that you use. Prove your claims by including case studies, results, guarantees and testimonials.

Send them a pre-proposal letter

When you have made the initial telephone call finding out the facts, always send a quick note thanking them for their time. The letter should also thank them for the information provided, and should include something that makes them feel good about what they want to have achieved. Finish off the letter by thanking them again and letting them know that you are looking forward to putting together a tender document for them, or some quotes and ideas. An important factor in your success is to establish a relationship with your prospective clients, a relationship that begins from when you first call them.

Do a lot of research

Find out everything you can about the company - even if you are only submitting a 'quote' for an easy job. Do an online search; get them to send you a brochure; know what their competitors are doing; find out what their customer service philosophy is, their mission statement, and what their culture is about - regardless of the job you need to do. By doing this, you get a feel for what is important to the company, as well as some priceless ammunition that you can include when preparing your tender documents.

Follow the guidelines so precisely

When you are tendering for Government contracts, there are always specific guidelines to follow. Structure your documentation around these guidelines, which makes it easy for the prospect to assess your tender. If there are any other sections that you'd like to include, you can place them towards the end of your tender document.

Use graphs and tables

Show figures in a graph, rather than in text format. Include a comparison of your results with other companies' results.

Make a list of your most impressive customers

By listing your customers, it gives prospects an understanding of how you can cope with a business of their size, reputation and type.

List the best results you have achieved

List any great 'claims to fame', if you have any. Doing this proves that your company has 'runs on the board' and suggests to them that they can also get results from you. Include a brief description of the project, industry and the results which were achieved.

Include a guarantee

In the tendering process, people can be very sceptical. They are fearful of being ripped off and of not getting the results that they expect. If you include a powerful money-back guarantee that reverses the risk, it takes away one of their major buying fears. In effect, that lowers their barriers against doing any business with your company.

Include some testimonials

If you say something, they may not believe you, but if someone else says it, then it must be the truth. This is definitely true when you are talking about selling your services to them. When you tell someone how good you are all the time, it's not until they can hear it from the 'horse's mouth' that they will believe you. For this reason, you need to include in your documentation as many testimonials as you possibly can.

Bonus points

• Talk in benefits - Because people are basically selfish they don't really care how big you are, or how professional you are, or even how long you have been in business. They just want to know what you are going to do for them, how you are going to deliver those results and what it will mean for them. You need to tell them. Talk benefits, Instead of talking features. Tell them what is in it for them.
• Use the word YOU more frequently - 'You' is the most powerful word in the English language, because people are so self-absorbed. Use the word 'you', instead of 'we' and 'us' to keep your prospect interested.
• Present it professionally - You should include action plans so your clients know what to expect and when to expect it. It is a bit difficult to know how a project is going to work, what needs to happen, and when it should happen  - particularly with large projects. Include a comprehensive action plan which clearly sets out each step. This gives your prospective client a much clearer picture of how you are going to deliver these results. 
• Do not stop when you have submitted the tender - That is only part of your process. You need to develop a structured follow-up system, which includes some nurturing follow-up letters or a series of telephone calls, which are designed to 'check-up' and provide them with further information, if it is required. This shows that you're committed to helping to get results for them.
• Never give in - Because you didn't win a tender, it doesn't mean that the company will not want to do business with you sometime in the future. Make sure you keep in touch with them, with telephone calls, newsletters, interesting news articles as well as 'how are things' letters. These show that you care about them.

Kristina Mills is an author and business consultant

Private equity funds - what works in Africa and why

Private equity firm Augentius's group head of sales, J.P. Harrop, spoke with the African Private Equity and Venture Association (AVCA) about the attractiveness of Africa and how the firm is helping fund managers to tackle the ever-increasing demands of international regulation.

With your relatively recent presence in Africa, Augentius now stands as one of the only global private equity-focused fund administrators. How did your focus on Africa come about?

Augentius’ roots have historically been in Europe, serving private equity, real estate and private equity fund of funds. In 2007 I went to Mauritius for an initial exploratory visit as we were hearing a lot about Indian private equity managers using Mauritius to domicile their funds. On this visit, a wise man pulled out a map of the region and asked me why we were looking to the right (India) when the greatest opportunity was to the left (Africa). That has always stuck with me as there were no private equity-only fund administrators focused on the African market. Fast forward to 2009 when Augentius led to its foray into Africa by being appointed as fund administrator of Citadel Capital's Joint Investment Funds, on the basis that we opened an office in Mauritius and became regulated by the MFSC (financial services commission). From here, we have build our presence and have now been appointed as the fund administrator for 24 Africa-focused funds, with FUM of circa US$6.1-bn based on committed capital and targeted commitments.

Are there any trends that you are seeing with Africa-focused fund managers that are different from other regions?

We have noticed that the fund of funds model seems to be more popular with those investing in Africa than other regions, with firms such as our client Sango Capital, and a few others establishing themselves as key players. We think this is due to investor demand for exposure to African private equity opportunities coupled with scarcity of local knowledge. Investing into an African fund of funds bridges this knowledge gap in a way perceived as more economical than trying to build out their own investment teams, as many in Europe and the US have been doing of late. At this point in the cycle, it is still very much a case of following cash – cash is still king. We have seen a number of funds in Africa that had previously sourced their commitments from local government and domestic institutions, who are now raising their next fund and looking at investors from other regions. In many cases, these investors are not comfortable with Mauritius as a domicile and consequently, they have to establish feeder or parallel vehicles in places such as Luxembourg, the Cayman Islands or the Channel Islands, alongside Mauritius, to satisfy all of the investors. We have managed this process for a number of our clients with investors joining from parts of Europe and the US. 

With the asset class attracting a more globalised pool of investors, fund managers in Africa need to be ever-more conscious of international regulation. Looking at FATCA, the US’s Foreign Account Tax Compliance Act, how do you see this new legislation affecting fund managers in Africa?

The appearance of FATCA, the US’s new tax avoidance laws focusing on foreign investments, initially caused concern for US-based investors, and then for any investor who had a connection with any US-based institution, over compliance, reporting and withholding obligations being imposed by the IRS, the US tax authority. As mentioned, US-based and other international investors typically participate in opportunities in Africa through funds or feeder funds in centres such as Mauritius, the Cayman Islands, and so on. One of the benefits of these domiciles is that they have inter-governmental agreements (IGAs) with the US to make compliance a more local matter, and reduce potential exposure.

Having dealt with FATCA in a number of cases, it is essential that managers and their service providers ensure they have the systems and processes in place to track their investors’ tax status, and are able to report when needed. The OECD have produced a ‘Common Reporting Standard’ on automatic tax information exchange and as this gains traction, we would expect to see a lot more funds needing to report on a greater number of their investors down the road.

AIFMD, the Alternative Investment Fund Managers Directive, which covers the management, administration and marketing of alternative investment funds in Europe, is also having an impact on fund managers in Africa. What has been your experience?

Precisely that, fund managers in Africa should be very conscious of AIFMD. Following its introduction, the European fundraising environment has been continuously evolving and certain EU countries have taken the opportunity to amend their private placement regimes. These changes particularly affect non-EU fund managers, who are not currently eligible for the EU marketing passport. Germany and Denmark are two examples; both now require fund managers to comply with certain aspects of the AIFMD, specifically the appointment of an EU-based Depositary. This means that all Africa-based fund managers planning to market their funds to Germany and/or Denmark under private placement regimes will need to appoint an EU-based Depositary for each relevant fund.

As an EU-based Depositary, Augentius is well-positioned to help Africa-focused funds efficiently comply with these new rules, and our detailed understanding and experience of the AIFMD within the European market is complimented by our dedication to and presence within the African private equity industry. We are currently unaware of any other Africa-focused administrators with a European presence offering this service. Unlike many of the larger banks offering this service, Augentius provides this depositary service as a standalone offering, as well as offering it as part of our broader service offering. 

Any final words?

This is a very exciting time for African private equity. The main concern I have heard from investors globally is whether there are enough experienced African private equity managers to cope with the likely material increase in interest in the asset class over the next three to five years. I expect to see more of the experienced African professionals currently working within the larger private equity houses in the US and Europe returning to Africa to help fill this gap, and participate in what may be a golden age of African private equity. 

Source:  Frontier's content partner, AVCA

Top 5 tourism opportunities in Africa

By Kurt Davis

Which countries offer the best business and investment opportunities for investors in Africa's tourism sector?

Africa’s tourism potential remains largely untapped. The continent accounts for 15% of the world population yet receives only about 3% of world tourism receipts and 5% of tourist arrivals, writes African Development Bank Group Vice-President and Chief Economist Mthuli Ncube in the foreword of the inaugural issue of the Africa Tourism Monitor in 2013. 

To maximize Africa’s tourism potential, he continues, critical investments are needed in key infrastructure sectors.

Access to better roads and increased airline connections are a start. But these efforts must be followed by improved energy access and bolstered telecommunications. An ease in the complexities of border crossing and accessing information could also move the sector forward.

Many African countries are making these improvements on a national level. But, elevating levels of tourism requires a boost in investment from the private sector. This article highlights the countries offering the best countries for investment in Africa’s tourism sector.

Uganda

Uganda is one of the fastest growing countries for tourism, based on tourist arrivals, in Africa. Between 2009 and 2012, tourism arrivals grew more than 43% and tourism receipts grew nearly 62%. The “Pearl of Africa”, named top tourism destination for the year 2013, continues to generate big returns in 2014, with receipts predicted to grow nearly 15% year-on-year in 2014.

The country is home to numerous untapped rural attractions, including Lake Bunyonyi and Ssese Islands. Located in southwestern part of Uganda, Lake Bunyonyi bears a resemblance to a scene from “Lord of the Rings”, according to Lonely Planet. Ssese Islands are one of the numerous attractions sitting on Lake Victoria. These locations among other sites require a boost in hotel offerings, especially 4-star and above, and improved logistics. Navigating the country as a tourist is not necessarily straightforward, thwarting revenue potential.

The Pearls of Uganda, a tourism initiative and partnership between Solimar International and the Uganda Community Tourism Association (UCOTA), will further boost the outlook for the tourism sector. Creating a network between tour operators, hotel providers and related parties should help the country manage its brand and better coordinate the sharing of information. Still promoters of the program openly admit that the projected bump in revenues – 60% in three years – depends largely on increased private investment.

Tanzania

Tanzania is already a top five country for tourism receipts in Africa, only trailing Egypt, South Africa, Morocco and Tunisia. Arrivals and receipts grew nearly 24% in 2012 and sector experts indicate that the final numbers for 2013 will show similar growth. Those tourists most familiar with the country know the picturesque Mount Kilimanjaro and striking Zanzibar beaches. But those locations only represent a tip of the tourism opportunities in the country.

Serengeti National Park is one of many national parks in the country, but is sadly the only truly famous one. Other national parks and reserves far from Dar es Salaam, such as Arusha National Park, can be difficult to reach. Negotiating the bumpy roads and unrealistic logistics of tour operators and drivers can be a burden too big for the traveller least familiar with the country.

An increase in airline flights to Dar es Salaam and other cities will only create a heavier burden for the sector. Investing in players in the sector, including tour operators and hotel operators, will pay greater dividends as high prices skyrocket in the face of limited offerings. The country, contrary to popular belief, is not approaching a break-even threshold, according to a local investor, and will not breach that threshold for some years. That observation says a lot for a country already a top player in Africa’s tourism sector.

Tunisia

Tunisia is another country already at the top of Africa’s tourism market, based on dollars and arrivals. Yet its full potential is clearly unrecognized at today’s level. Tourism receipts are still rebounding from their demise during the Arab Spring. Numbers should pass pre-revolution levels this year and establish a new high for the sector. Renewed flare-ups in 2013 have been quelled and should not hinder continued growth.

Opening the market for airlines in the country is a move in the right direction. But efforts by the government have slowed drastically as officials look to prop up the struggling national airline Tunisair. Still a small entrance from new operators has paid some dividends in easing access to the country and attracting a more varied group of travelers. Over the next few years, the openness – even if less than desired – will nicely compliment the return of visitors who stayed away during the previous couple years.

Competition plagued the returns of operators in the sector. Engaged private investors can reap benefits through guiding companies in how to boost operational efficiencies and manage balance sheets. Poor purchases of assets and poor pricing schemes created some bankruptcies in sector but also opened way for the stronger players to take greater market share in dollars AND brand.

Senegal

Senegal is not the star on this list. But it is definitely one of the countries with the greatest upside. The country hosts numerous picturesque sites, including Île de Gorée (one of U.S. President Obama’s previous visits in Africa). Yet most sites slide under the radar of persons not from Belgium or France.

Local operators argue that the sector benefited during the Arab spring as French travelers happily traded in an unsafe North Africa, specifically Tunisia and Egypt, for Senegal. Untouched beaches and deserts will nevertheless stay relatively bare over the long term until investment in hotels and related facilities begin to match sector demand. The government consequently has promoted expansive tax incentives and custom exemptions to buoy investor interest. Yet these efforts will not pay its truest dividends until the country’s infrastructure improves. Current plans to renovate the international airport in Dakar and introduce new toll roads is definitely a start in the right direction.

Namibia

Namibia is a personal favorite. It is definitely overshadowed – by word of mouth and number of arrivals – by Mozambique, a fellow southern African country on the opposite coast. But the growing violence in the north of Mozambique and uncertainty with safety led to a decrease in days stayed by the typical South African tourist and equally boosted the popularity of Namibia as a result. Yet, the popularity has yet to spread beyond South Africa and neighboring Angola. And sites, such as Swakopmund and neighboring Cape Cross, only make headlines in a Lonely Planet travel guide.

Between 2009 and 2012, tourism receipts grew approximately 40%, based on projected numbers for 2012. Tourists generally travel beyond the quite mellow country capital of Windhoek to the aforementioned tourist sites and other related sites along the coast. The country’s vast landmass in between sites requires tourists spend more time and money than that spent in regional competitors. A boost in foreign investment can help the facilities, including lodging, throughout the country capture greater profits.

A push in strategic marketing and tour packaging could also reap rewards. Betting mainly on South African and Angolan travelers will only sell the sector short. Messages coming from the government indicate that officials and investors are taking notice. The boom in mining and the travel companions associated with sector definitely helps interested parties take notice.

This article is re-published with permission from Frontier's content partner, Ventures Africa.

To 5 growth sectors in Nigeria's economy

As global investors look to Africa for growth opportunities, the focus on Nigeria (Africa's largest and most populous economy) is increasing, and for good reason. Data released this year shows the West African nation's is far more diverse than previously understood. Sectors such as agriculture and trade are actually quite large and fast-growing, and could soon near the worth of the oil sector.

But there are deep-seated and well-known challenges in Nigeria that can potentially stifle government's ambition for inclusive growth. Latest concerns about terrorism and poverty are worrying and overshadowing the other side of Nigeria that brims with opportunities and promise.

A new report by McKinsey Global Institute examines the country's economic potential and finds that with the right reforms and investments, it can become one of the world’s leading economies by 2030.  

“What people overlook is Nigeria’s extraordinary advantages for future growth, including a large consumer market, a strategic geographic location, and a young and highly entrepreneurial population,” says Reinaldo Fiorini, director and location manager of McKinsey’s Lagos office.

The results of Nigeria’s progress have not been spread evenly across its economy. More than 40% of the population live below the nation’s official poverty line and 130 million (74% of the population) live below the MGI Empowerment Line - a level of income and access to vital services that provides a decent standard of living.

The reasons for Nigeria’s persistent poverty include low farm productivity due to limited access to fertilizer and mechanized tools, and inefficient markets. At the same time, urbanization has not raised incomes the way it has in other developing economies.

According to the McKinsey report, Nigeria has the potential to expand its economy by roughly 7.1% per year through 2030, raising GDP to more than $1.6-trillion. This could make it a top-20 global economy - with higher GDP than the Netherlands, Thailand, or Malaysia in 2030. What’s more a large consuming class is developing in Nigeria, with potentially as many as 160 million members by 2030, more than the current populations of France and Germany combined.

This upside scenario is based on a bottom-up analysis of the potential for five major sectors of the Nigerian economy:

Trade

Given the expansion of the consumer class, we project that consumption could more than triple, rising to almost $1.4-trillion a year in 2030, an annual increase of about 8%. This would make trade the largest sector of the economy and provide a particularly good opportunity for makers of packaged foods and fast-moving consumer items such as paper goods, categories that could grow by more than 10 percent a year.

Agriculture

Improvements on several fronts could help raise both the volume and the value of Nigeria’s agricultural production in the next 15 years. The economic value of agriculture, already the largest sector of the economy, at 22% of GDP, could more than double, from $112 billion a year in 2013 to $263 billion by 2030

Infrastructure

On average, the value of a nation’s core infrastructure—roads, railways, ports, airports, and the electrical system—represents about 68 % of GDP, but in Nigeria it is only about 39%. Between core infrastructure and real estate, total infrastructure investments in Nigeria could reach $1.5-trillion from 2014 to 2030. This would make building infrastructure not only a major contributor to GDP but also an enabler of growth across the economy.

Manufacturing

Though growing rapidly, manufacturing in Nigeria contributed just $35-billion to the economy in 2013, or about 7% of GDP. If Nigeria could match the performance of nations such as Malaysia and Thailand when their manufacturing sectors were expanding rapidly, output could reach $144-billion a year in 2030.

Oil and gas

While the oil-and-gas sector is expected to grow by 2.3% a year at best, its success is still vital to Nigeria’s economy. With the right reforms, we estimate that liquids production could increase from an estimated 2.35 million barrels a day, on average, in 2013 to a new high of 3.13 million by 2030. Oil and gas would then contribute $108-billion annually to the economy, compared with $73-billion in 2013. However, this estimate of potential output assumes renewed investment to reverse the production declines of recent years.

Nigeria’s government has put in place clear strategies and plans for various sectors, and the most important step that it can take now is to improve its ability to deliver its programs and services. The country can also capitalise on several favorable trends such as rising demand from emerging economies, growing global demand for resources, and the spread of the digital economy.

“By capitalising on its strengths and positioning itself to take advantage of emerging global trends, Nigeria could potentially triple its GDP by 2030,” says Acha Leke, a director in McKinsey’s Nigeria office. “This adds up to a huge opportunity for inclusive growth that should not be missed.”

Guide to investing in Senegal

Senegal offers a competitive destination for investments, thanks to its strategic geographical position, stability and access to the West African markets.

Many international organisations, businesses and NGOs have set up their West African headquarters in Dakar City, confirming Senegal's growing influence in the region.

To boost economic growth, Senegal’s government has strong investment projects in various sectors.

The Doing Business in Senegal report offers you important information on how and where to invest in Senegal. 

The report covers: 

• The business climate
• How to register a business
• The tax and customs framework
• Investment opportunities
• Insight from an established British investor 
   

This report is brought to you in partnership with Developing Markets Associates.

Click on this link to access the 'Doing Business in Senegal' report 

Ten tech startups to watch in Ghana

By Mfonobong Nsehe

The Meltwater Entrepreneurial School of Technology (MEST), an entrepreneurial school founded in 2007 by Norwegian software entrepreneur, Jorn Lyseggenhe, is helping to train young and intelligent Ghanaians (and from this year, Nigerians) to become software entrepreneurs. Since founding the school, 139 students have graduated and 13 companies have been founded by these people. Collectively, these companies now employ over 70 people.

MEST is a tech entrepreneurial school and incubator with an interesting model.

“The idea was to get young graduates from Ghana who were passionate about technology and entrepreneurship. We wanted people who were interested in building a company. Our selection criteria was that each of them had to have a first degree from a University or higher institution of learning. Then we put them through rigorous aptitude tests and other screening exercises to get the very best out of the entire lot,” said Lyseggen, who was born in Korea but adopted by a family in Norway and has already sold two companies and taken a  third public.

MEST receives close to one thousand applications from hopefuls across the country every year. Lyseggen and his team meticulously review every application and then select no more than 20 exceptional applicants from the pool. On acceptance into the school, the successful applicants, usually referred to as ‘Entrepreneurs in Training’ (EITs) have to go through an intensive, rigorous two-year entrepreneurial training program that blends an MBA-type education with hands-on training in software development in a fast-paced, startup environment. The EITs learn everything from the fundamentals of business management, entrepreneurship and finance to communications and programming. These students are taught by teaching fellows that include business professors, MBA consultants and software geeks, who each bring several years of seasoned experience in the software and tech business in the United States, Europe and Asia. Together these teaching fellows prepare the MEST students for the global markets.

Students at MEST are all compelled to develop software applications that will provide solutions to pressing international problems - applications that must be launched in the global marketplace as real companies. This is the subterranean objective of the intense two-year training. The first year is mainly theory, but in their second year, students must form teams of three or four people and boot-strap their own software start-ups. For their final examinations, the students must present an investor pitch to a committee that includes Jorn Lyseggen, renowned venture capitalists and entrepreneurs. Based on the strength of the commercial viability of the start-up, it’s global appeal and other metrics, the students stand to receive seed funding from $30,000-$200,000 from MEST’s incubator, which is conveniently located in the same environment. When the ideas are funded, the newly-formed companies move into the incubator to start business. 

It’s a model that has worked well so far. Between 2008 and 2013, the Meltwater Foundation, chaired by Lyseggen, has invested over $1.5-million in these budding businesses. But it’s not just about the money. MEST graduates who receive investment gain instant access to a global network of advisors and mentors - many of whom are friends to MEST.

Prior to the 2013 graduation ceremony, some of the students pitched their business ideas to a panel for possible funding and a place in the MEST incubator. I had the opportunity to be a part of the investor pitches, and many of the students were eager to share the ideas of their young outfits with me. There were a few decent ideas that I have outlined below and think are worth watching closely.

Dropifi

Dropifi became the first African start-up to be accepted into 500 Startups, the renowned Silicon Valley-based seed accelerator and investment fund. Dropifi offers an intelligent contact form - a smart widget that helps businesses and companies better analyze, visualize and respond to incoming messages. With Dropifi, companies can view the social media profiles and demographic of message senders and analyze the emotions behind the messages.

Orgaroo

Currently in beta, Orgaroo is a web and mobile application that allows event planners and people who coordinate conferences, official meetings, trips and other related activities to seamlessly organize itineraries, manage activities, and keep attendees on track with real-time updates. According to its co-founder Selasi Tsikata, Orgaroo lets organizers import attendees’ email addresses from an address book in less than a second, plan the activities, events and travel information for each attendee, then add them to each person’s calendar.

Afriyage

Afriyage is a mobile app that offers first-time or regular travelers to Africa personalized travel suggestions based on a traveler’s preferences and interests. MEST graduate and Afriyage co-founder, Agana-Nsiire Agana, describes the app as “your intelligent personal travel assistant in Africa”.

ClaimSync

Claimsync is an end-to-end claims processing software that enables hospitals, clinics and other healthcare facilities all over the world to automate patients’ medical records and to process records electronically. Claimsync’s solution allows these healthcare providers to easily prepare medical claims and send electronically to health insurance companies. Claimsync also offers a platform whereby insurance payers can receive medical claims through their online dashboard and easily vet them for payment. With Claimsync, one can also search for patient records by name or membership number.

RetailTower
RetailTower’s e-commerce marketing software allows online merchants to easily list their online stores across all major comparison shopping engines thereby increasing exposure, driving traffic and improving sales. RetailTower submits data feeds of independent online stores to more than 15 shopping engines like Google, Amazon, TheFind, Shopzilla and Pricegrabber. Online merchants can track referral traffic from various shopping engines through RetailTower’s analytics platform. At the moment, RetailTower has over 11,000 merchants and integrates with the leading e-commerce platforms, including Amazon. The firm is even a preferred solutions provider for Amazon Ads.

Trokxi

Trokxi is a mobile and web-based application that provides you with estimated fares for public transportation and destinations around the world thereby allowing you adequately budget for your trip, as well as save money and time. The app also maps the major cities and their transport systems. It is now available only to Ghanaians, so it only maps cities in Ghana, but the founders plan to launch it on a global scale sooner or later.

FreelancePro.Me

Richard Brandt, the Ghanaian co-founder of FreelancePro.Me, describes the site as ‘the LinkedIn for freelancers’. FreelancePro.Me is a website that allows freelance writers, programmers and designers to create a professional reputation profile by aggregating their testimonials on multiple freelance sites like odesk, freelancer, elance and LinkedIn on one singular platform. With all their testimonials from multiple job sites aggregated on one channel, freelancers find it easier to promote themselves to prospective clients and secure more jobs.

mPawa

Founded by Maxwell Donkor, mPawa is a mobile application developed for Africa’s blue collar recruitment sector. mPawa provides companies and individuals with access to a pool of blue collar workers. The app connects employers to blue collar workers such as construction staff, plumbers, mechanics, electricians and the sort. mPawa supports the posting of jobs and then notifies blue collar workers on the availability of new jobs based on  geographic location, job preference, wages and other metrics, thereby getting blue collar workers into a centralized location and allowing employers to easily reach them.

Saya Mobile

Saya has developed a free group messaging application that works on feature phones with internet access. Saya also works on Java, iOS, Android and the Blackberry platforms. The app connects users with their phone contacts and Facebook friends.

Leti Games

Leti Games is a mobile game development company. The arcade and strategy games Leti develop are usually set in traditional African settings complete with African heroes and elements such as elephants, hyenas and other animals, giving the savvy gamer an experience like no other. Leti has thousands of users and their games are available on Apple’s App store for a small fee.

Mfonobong Nsehe chronicles the stories of successful African enterprises and entrepreneurs for Forbes.com

Top 5 infrastructure investment opportunities in Africa

By Kurt Davis

The 'Top 5 public private partnership opportunities in Africa' highlighted the best countries for PPPs in Africa. This article examines the best countries for infrastructure investment, if we assume all things to be equal in each country’s PPP system. 

Only one country - Nigeria - makes both top 5 lists, largely because it's government has made great strides in recent years to match its enthusiasm to develop infrastructure with the demand for infrastructure investment in the country. Over time, all political indicators point to a greater PPP environment in the other four countries on this list, and greater growth in PPPs across the continent. Still, in the short term, private investors should not be deterred by the challenges in the PPP markets, as officials in these countries have indicated that they are keen to bolster the PPP market, especially from a legal perspective, and participate with investors.

Angola

More than ten years after a 27-year civil war that left nearly 1.5 million people dead, Angola is taking off like no other country. Situated on the western cost of southern Africa, the country is home to a wealth of natural resources, most notably oil (making Angola the second largest oil producer in sub-Saharan Africa). A boom in real estate construction (including hotels) and financial services unsurprisingly accompanies the oil boom, making Luanda unrecognisable from 10 years ago.

On the surface, it is a perfect turnaround. But, as it goes in any other country, every boom has its challenges. The all-encompassing challenge in Angola’s growth story is infrastructure. New buildings, more people, and a deficit in power sums it up, says a major Lusophone private investor. Hydropower is an obvious solution and the government is making great strides in restoring its capabilities. Still the hydropower facilities and greater distribution systems for power remain a shell of themselves after their decimation in the civil war.

Fundo Soberano de Angola, the US$5-billion sovereign wealth fund for Angola, is targeting infrastructure investments across the country. Yet, despite the government’s pledge to transfer annual surpluses from the oil reserves account (with annual receipts as high as US$3.5-billion), greater investment will be required from foreign investors. The quality of the transport network, including airports and ports, is sub-par to support the country’s growth. Private investors will find an interested government partner and a lucrative return in connecting the resource-rich Democratic Republic of Congo with the Atlantic Ocean and partners in the transport-capable country of Namibia.

Mozambique

As the other big Lusophone country in southern Africa, Mozambique shares a similar story of civil war and decimation. Booming with gas reserves and the accompanying real estate sector, the country is in great need of a transport upgrade. Recent estimates by professional services firm, PwC, values transport projects in the pipeline at US$17-billion, including increased rail links to the ports and expanding port capacities. Yet, by all accounts and estimates, more money will be required to ensure that major ports, including Nacala, Beira and Macuse, reach full potential. Equally, transport networks from those ports to neighboring Zimbabwe, Malawi and Zambia require financing currently not available in the market.

A recent announcement by the Minister of Public Works Cadmiel Muthemba indicates an openness on the government’s side to erect more toll roads. The country currently has only one toll road - the N4 toll road connecting Maputo to South Africa - which is operated by South Africa’s Trans Africa Concessions (TRAC). Private operators see enormous return potential in several routes, including highways between Manica and Tete, between Nampula and the port of Nacala, and between Marracuene and Inhambane.

Speaking at the ‘Africa Rising’ conference back in May, hosted by the International Monetary Fund (IMF) in Mozambique, the Minister of Planning and Development Aiuba Cuereneia stated the country’s notable gains in paved roads and the projects in the pipelines. Equally, during Q&A, he conceded that more financing was required, specifically from foreign investors, to match the plans envisioned by the government.

A power deficit is also quite noticeable in the country. A changing environment for public private partnerships should breathe life into this sector in the near term.

Cote D’Ivoire

Talk of a country booming under the public radar. Cote d’Ivoire has made amazing strides since the assumption of power by President Alassane Ouattara in 2011. The economy expanded 9.8% in 2012 and 8.7%  in 2013, with an estimated 8.0% predicted in 2014, according to the IMF. Yet it remains a fragile state, especially with elections around the corner in 2015.

The country is the largest producer of cocoa as well a global player in the palm oil and cashew nuts markets. Cargill, Cadbury and Hershey’s among many others call the country an agriculture hub - yet the country is nowhere near its potential. Infrastructural upgrades in the transport sector, specifically ports and road infrastructure, will greatly boost the country’s capacity for moving agricultural products and growing its position as a food basket and trading partner to neighboring Sierra Leone, Liberia, and Ghana.

The arrival of energy companies, following the discovery of oil reserves, will help fill government coffers for spending on infrastructure. But the boost in cash, particularly in the short term, is not sufficient to jump the infrastructural hurdle left by years of civil war. The power necessary to buoy the energy, agriculture (including agri-processing) and manufacturing sectors going forward is simply not there, creating big opportunities for investors. But it cannot be ignored that Cote d’Ivoire did not make our list for public partnerships in sub-Saharan Africa, as the government will have to do more to appease investor concerns and mediate risk. More details around regulation should appear after next year’s election.

Nigeria

As mentioned before, Nigeria is the only country to appear on both the top five list for public private partnerships and top five list for greatest infrastructural opportunity. Nigeria has one of the greatest infrastructural needs on the continent, particularly due to its size and population, and its politicians recognize this grave infrastructural challenge, consequently enacting laws to promote public private partnerships across the country.

The estimated cost of infrastructure investment required over next 10 years hovers between $8-billion and $10-billion. The newly-established sovereign wealth fund for the country cannot pay the bill for everything. Thus private investors will have a wealth of opportunities to keep picking from in the near future, especially in Nigeria’s power and accompanying transport sectors. Recent laws and change in government approach has numerous private operators waiting at the gates to make a deal. Some parties do complain that the due diligence process is absurdly arduous but this should gradually change over time.

Ethiopia

Ethiopia has the highest spending on infrastructure as a percentage of GDP in Africa. The government is dedicated to delivering high quality infrastructure to the country as the impetus for investment in the country’s other business sectors, particularly manufacturing/industrial and agriculture. For a country with 90 million people and relatively un-urbanized compared to its peers, improved transport - specifically roads and rails - is critical to moving goods to disperse populations.

The country’s leadership currently envisions an energy surplus following the completion of its latest dam project. But this should not lead investors to think the investment opportunities are limited for the power sector. Power purchased at the borders with Djibouti and Somalia can go north of US$0.75 per kWh depending on the time of the year. Thus, Ethiopia's vast land mass - ripe with energy opportunities from geothermal to gas to wind - offers boundless potential for growth.

Power generation could solely justify Ethiopia’s ranking in the top five. But, it would be a failure to ignore the demand for increased investment in power distribution. Any opening to foreign investment in the telecommunication sector will offer investors access to a country desperate for improved telecom infrastructure. Creative operators are already considering opportunities in water and sewage treatment which will become a graver concern to the country’s population as it approaches and surpasses 100 million persons.

It is not about the potential return with Ethiopia, in the eyes of those investors currently looking at the country, but rather all about timing (as to when a sector is more liberalized or the project gets approved). Whether today or in a year, the country will remain very attractive for infrastructure investment.

This article is re-published with permission from Frontier's content partner, Ventures Africa.