The Yanks Jumpin’ Jehosaphat!
600 US businesses are currently active in the RS of A, a number which, says US Assistant Secretary of State of Economic, Energy and Business Affairs Jose Fernandez, is “not enough.” He does, however, believe that both the US Government and American companies are increasingly eager to pursue opportunities in Africa, as it grows to a $2trillion GDP region by 2020, with African punters predicted to increase their spending from $900billion annually to $1.4 trillion. While the big story in Africa is currently resources, these contribute only 24% to GDP currently, with the balance coming from wholesale and retail, telecoms, transport and manufacturing. The upside notwithstanding, US investors remain concerned about instability and corruption, which adds an average of 20% to the cost of doing business.
Comment: And of course the lions in the back garden.