GCC countries are placing more attention on new markets in east, west and southern Africa as their trade flows with the continent expand, a report said.

From telecommunications and private equity in West Africa to energy projects in South Africa and Mozambique, investment flows are diversifying, added the GCC Trade and Investment Flows report released by the Economist Intelligence Unit (EIU) in conjunction with Falcon and Associates, a strategic advisory company working on behalf of the Dubai leadership.

Opportunities in infrastructure are a primary growth driver, where, according to World Bank estimates, $96 billion a year is required to bridge the gap, while fast moving consumer goods (FMCG) is one of the fastest-emerging opportunities on the continent, driven by increased spending power and rising consumer needs.

Findings show Dubai and the UAE as a major trade and investment partner across the African continent. This year, the Investment Corporation of Dubai (ICD) signed a $300 million agreement with Dangote Cement in West Africa and bought a significant stake in Kerzner International.

This year also saw Dubai-based Jumeirah Group expand operations into North Africa with a management agreement in Mauritius and the recent deal between Emirates Airline (which already operates more than 160 flights a week to Africa) and TAAG Angola Airlines will improve connections to Central and South Africa.

In addition, the Dubai International Financial Centre (DIFC) Courts has signed its first Memorandum of Guidance with their counterparts in the High Court of Kenya advancing legal structures and enabling more confident investing.

With robust infrastructure, geographic location and global connectivity, Dubai acts as a strategic and world-class hub for doing business with Africa. The emirate not only facilitates trade and investment flows into and out of the continent, it provides a stable and secure base from which global firms can operate, the report said.

The findings follow the success of the second Africa Global Business Forum (AGBF), held in Dubai earlier this year and organised by the Dubai Chamber of Commerce and Industry, which was attended by more than 1000 delegates from 62 countries where discussions focused on encouraging investment opportunities and promoting sustainable development across Africa. – TradeArabia News Service