Morocco Second Most Attractive Investment destination in Africa: Report

Rabat – Morocco has ranked the second most attractive investment destination on the continent according to the latest figures in the Africa Investment Index 2016, published by Quantum Global's independent research arm, Quantum Global Research Lab.

The Kingdom's second spot in the top five most attractive economies for investments flowing into Africa in 2016 was guaranteed due to its strong economic growth and strategic geographical position. Increased foreign direct investment, import coverage balance and its generally favorable business environment also contributed to the strong showing.

According to the report, the top five economies were located in Botswana, Morocco, Egypt, South Africa and Zambia. Together, they attracted an overall of Foreign Direct Investment (FDI) of $ 13.6 billion in 2016.

Botswana took first place due to its improved credit rating, current account ratio, import cover and business proficiency.

Egypt was ranked third because of an increase in foreign direct investment and its growing urban population.

Fourth on the list, South Africa, distinguished itself through its GDP growth, the ease of doing business in the country and its large population.

Fifth ranked Zambia made the list on the basis of its domestic investment and monetary availability.

Head of Quantum Global Research Lab, Mthuli Ncube, explained that "despite considerable external challenges and the fall in oil prices, many of the African nations are demonstrating an increased willingness to achieve sustainable growth by diversifying their economies and introducing favorable policies to attract inward investments."

He added that "with a population of over one billion people and rapidly growing middle class, Africa clearly offers significant opportunities to invest in the continent's non-commodities sectors, namely financial services, construction and manufacturing amongst others. However, structural reforms and greater private sector involvement are crucial to unlocking Africa's true potential."

Quantum Global is an international group of companies active in the areas of macroeconomic research and econometric modeling. Their capital investment branch manages funds targeting direct investment in Africa in the areas of agriculture, health, tourism, infrastructure, mining and timber.

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Source: Morocco Second Most Attractive Investment destination in Africa: Report