Investing in Africa
We often hear, ‘Africa looks like it has potential, but it’s too risky for me and my business’. East Africa has its potential and challenges, and we will try to demystify these misconception about the risk associated to investment into this market and highlight how Skepsis World is positioned to provide the required framework and assist for investment into the East-African countries.
Africa, a Sleeping Giant
In the realm of investment prospects, Africa is often depicted as a dormant giant within the global economy. Recently, however, interest in the continent has surged due to remarkable success stories, substantial funding rounds, and improved business environments across African nations. The allure of robust returns within rapidly expanding African economies has thrust the continent into the global spotlight.
According to UNCTAD's World Investment Report, foreign direct investment in Africa reached an all-time high of $83 billion in 2021, with tech startups securing over $2 billion in investments across 564 companies. Yet, despite these promising figures, some investors remain cautious about committing capital to Africa, citing concerns about risk.
East Africa's Potential
East Africa, comprising countries like Kenya, Rwanda, Somalia, Tanzania, and Uganda, stands out as a region teeming with potential and challenges. Skepsis World aims to debunk misconceptions surrounding investment risks in this market while highlighting how we're poised to offer the necessary support and framework for investment in East African countries.
In 2023, East Africa continued to showcase promising opportunities despite lingering reservations from the global community. Boasting a rapidly growing economy and a vibrant entrepreneurial population, the region is fueled by diverse industries such as agriculture, manufacturing, logistics, tourism, mining, energy, and financial services. Technological advancements further drive innovation, addressing industry challenges and opening new avenues for growth.
15 Reasons to Invest in East Africa
Large and Growing Population
Over 310 million people in the EAC — a strong consumer and labor base.
Expanding Middle Class
Rising income levels and purchasing power fuel demand.
High-Growth Economies
Consistently above-average GDP growth across the region.
Regional Integration
East African Community (EAC) supports a single market with reduced barriers.
Business-Friendly Reforms
Improved ease of doing business through digitized services and simplified regulations.
Strategic Geographic Location
Access to global trade routes via Indian Ocean ports and proximity to major markets.
Special Economic Zones (SEZs)
SEZs offer tax breaks, regulatory ease, and export advantages.
Skilled and Youthful Workforce
A young, trainable population drives productivity and innovation.
Infrastructure Development
Ongoing investments in roads, rail, energy, and digital infrastructure.
Political Stability in Key Markets
Kenya, Rwanda, Tanzania, and others offer stable governance and investment protection.
Diversified Investment Opportunities
Agriculture, fintech, energy, manufacturing, real estate, and tourism.
Attractive Incentives and Tax Relief
Corporate tax holidays, zero-rated VAT, and duty-free imports in SEZs.
Growing Capital Markets
Nairobi Securities Exchange and regional financing platforms improving liquidity.
Digital Transformation and Innovation
Regional hubs for fintech, mobile money, and tech startups (e.g., Nairobi’s Silicon Savannah).
Supportive Legal Frameworks
Enhanced investor protections, arbitration bodies, and legal reforms across EAC nations.
Reforms, resilience, and strategic advantage are shaping one of the world’s most promising regions.
What Makes East Africa a Smart Investment Choice
Ease of Doing Business
Business reforms have streamlined setup and improved global rankings.
Financial Infrastructure
Modernized systems aligned with global standards power efficient transactions.
Legal Framework
Investor rights protected by improving legal systems.
Market Growth
Skilled workforce and expanding infrastructure drive demand.
Strategic Location
Geographic access to major markets enhances regional and global trade.
Looking to align your capital with long-term value in East Africa?
Connect with us to uncover tailored opportunities and on-the-ground insights.
East Africa holds exceptional promise, but navigating its complexity requires local insight and hands-on support.
Understanding the Risks — and How to Overcome Them
Investor Challenges
Before Investing
📉 Unreliable Information
Due diligence often lacks verified data.
🌐 Cultural & Language Barriers
Misunderstandings can derail progress.
🤝 Partner Selection Risks
Choosing the wrong advisors can cause legal or financial harm.
📚 Regulatory Complexity
Navigating compliance frameworks is difficult without local knowledge.
🧭 Weak Governance in Investees
Lack of structure hinders execution.
After Investing
🛡 Lack of Controls
Internal weaknesses in investees can escalate risk.
📊 Poor Reporting
Non-compliant or inaccurate financials erode visibility.
🧾 Tax & Global Standards Gaps
Failure to meet international reporting rules.
How Skepsis World Helps
Before Investing
🏢 On-Site Due Diligence
Thorough financial and risk assessments by local experts.
👥 Local Experts & Advisors
Bridging cultural gaps and navigating local norms.
🧩 Vetted Professional Network
Access to trusted legal, tax, and accounting partners.
💼 Regulatory Setup & Guidance
Clear support on licenses, entity setup, and local rules.
🧰 Governance Assessment & Design
We help build governance before deal execution.
After Investing
📝 Board & Secretarial Support
We organize board structures and corporate governance.
📈 Standards-Based Accounting
We implement robust IFRS-aligned reporting frameworks.
💼 Tax & Regulatory Compliance
Adherence to both local and international standards.
Let Us Show You the Path
For investors seeking opportunities in East Africa, Skepsis World offers end-to-end support to safeguard your capital, enhance visibility, and ensure full compliance with local laws. From due diligence to governance and reporting, we’re your trusted partner on the ground.