After Eurobond glow, Nigeria missing in top 10 countries to invest in Africa ranking

After Eurobond glow, Nigeria missing in top 10 countries to invest in Africa ranking


Business Day

Nigeria must have its rather successful Eurobond sale of yesterday to thank for partly overshadowing its woeful performance in the 2021 “where to invest in Africa” report where the continent’s biggest economy did not qualify to be listed in the ranking of the top ten countries.

The report was released by Rand Merchant Bank, RMB on Tuesday, the same day leading investors from around major markets of the world were snapping up the $4bn dollars on offer by Nigeria leading to a massive oversubscription categorized as one of the best things out of Africa in 2021.

In the where to invest in Africa ranking, Egypt was placed first and followed by Morocco and South Africa in the second and third place respectively.

Read Also: Nigeria raises $4bn Eurobond as foreign investors oversubscribe four times

Rwanda, Botswana and Ghana followed in the pecking order while Mauritius, Cote d’Ivoire, Kenya and Tanzania made up the remaining places.

In the same ranking for 2020, Nigeria placed 7th but this year the country is completely missing from the top ten, a mark of how the investment climate in Africa’s most populous country had deteriorated in 12 months.

Daniel Kavishe, Africa economist at RMB said Wednesday that this year’s where to invest report was also impacted by the on going covid pandemic as well as the significant disruption in cross border payment to suppliers in a number of key markets that were ranked.

Read Also: Why Nigeria may buck trend of record-low interest rates on African Eurobonds

A key indicator this year was fiscal score measuring the size, nature and efficiency of government fiscal measures to strengthen resilience in the midst of the covid lockdown in major markets across Africa.

This story first appeared in Business Day


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