Introduction
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“Africa’s growth story is no longer a distant aspiration but a dynamic reality, driven by investment flows, expanding portfolios, and a shift in global perception. With Institutional investors and asset managers at the forefront, the continent is experiencing unprecedented momentum, marked by 40% increase in mid-tier allocations and a remarkable 75% growth in assets under management expected in coming years. This surge underscores Africa’s emergence as a core strategy for global markets, fueled by its rich resources, growing digital economy, youthful population, and the promise of economic integration through initiatives like African Continental Free Trade Area.”
Hari Chaitanya
Head of Investor Services Product Management, Standard Bank
Investing in Africa has moved from niche to must-have for global investors, and the pace and breadth of investment is simply staggering. As investor pools grow geographically and in breadth, accessing Africa has never been easier. From indexes and offshore bonds to direct onshore investment and private markets, global and cross-border channels to Africa are open for business.
The rapid growth we’ve seen over the last two years is just the start. Allocations are expected to rise substantially over the next two years given the critical diversification, returns and opportunity African investments offer to global investors.
This World to Africa report offers a detailed view of what’s changed since 2021 and explores the factors driving investment in Africa. Our statistical market insights show you who is investing and – equally important – where, how, and why.
This campaign reflects on-the-ground expertise from Standard Bank and valuable insight from partners AVCA, BNY, Global Custodian, Institutional Investor Network, The Liquidity and Sustainability Facility, Mercer and NCPERS. Our aim is to deepen your understanding of these dynamic markets with data and insights that support your African investment journey.
Who participated
This survey reflects input predominantly from investors (46% of respondents) and banks and broker dealers (25%). The remaining 30% represented a diverse group of service providers, advisors and market infrastructures (all classified above as Other). In all, over 220 organizations participated, 70% of whom also participated in the 2022 survey. With so many repeat respondents, these findings depict meaningful attitudinal shifts and trends.
Geographically, our responses reflect levels of investor interest in Africa, with the majority coming from North America and Europe (64%). Intra-region investment remains a significant force, as demonstrated by the 16% of respondents from other African countries. Limited participation from Latin America and APAC reflects the lesser importance of African markets at the present.