East Africa: Leveraging Natural Proximity to India, China, and the Gulf

The recently released report by McKinsey & Company on reimagining economic growth in Africa offers a wealth of valuable insights and analyses. However, one aspect that I believe received insufficient attention in the report is the positioning and integration of different clusters of countries, particularly in relation to their global market geography.

One striking observation is that almost all African countries bordering the Indian Ocean and those supplied through it have experienced strong and consistent growth over the past two decades. In contrast, other regions in Africa have had a more varied track record of economic performance (the graphic’s limited scope up to 2019 also fails to capture the present security challenges in the Sahel, which have severely hindered economic growth in those countries).

To leverage their natural advantages of proximity to India, China, and the Gulf, it is crucial for East African nations to continue leading the way in reducing restrictions on the flow of labor and goods. With this in place, there is no doubt that the region will continue to drive the continent forward.



This entry was posted on Sunday, July 9th, 2023 at 3:15 pm and is filed under Kenya, Tanzania.  You can follow any responses to this entry through the RSS 2.0 feed.  Both comments and pings are currently closed. 

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Wildcats & Black Sheep is a personal interest blog dedicated to the identification and evaluation of maverick investment opportunities arising in frontier - and, what some may consider to be, “rogue” or “black sheep” - markets around the world.

Focusing primarily on The New Seven Sisters - the largely state owned petroleum companies from the emerging world that have become key players in the oil & gas industry as identified by Carola Hoyos, Chief Energy Correspondent for The Financial Times - but spanning other nascent opportunities around the globe that may hold potential in the years ahead, Wildcats & Black Sheep is a place for the adventurous to contemplate & evaluate the emerging markets of tomorrow.