Briter Bridges’ Africa Investment Report 2020
This month, business research firm Briter Bridges released its Africa’s Investment Report 2020, highlighting some of the funding activity across the continent, particularly in the tech and innovation spaces.
Though the COVID-19 pandemic introduced understandable hesitancy in funding activity over the course of the year, Briter Bridges’ report makes three things very clear:
Fintech (financial technology) continues to dominate the investment market;
Cleantech–companies and technologies that pursue environmental sustainability–is having its heyday;
Mergers and Acquisitions were aplenty in 2020.
The Fintech piece certainly makes sense. As borders closed and movement was restricted across the globe, e-commerce merchants drove up the demand for more digital tools and platforms to accept payment and distribute goods. The AACC is seeking to improve its reach in this space, particularly considering the proximity between the two continents along with the significant diaspora community in Australia. The Fintech demand is only going to grow, and we want to make sure Australian business have the resources to meet it.
The climate-conscious investor will find much to be pleased about in this report, as ‘solar energy’ presents as the most appealing tech product of 2020. Though the continent has obviously trailed other regional blocs in development, it is interesting to think about how much potential Africa has to meet the developed world on renewable energy considering the ‘build back better’ theme emerging in the aftermath of COVID-19. Cleantech is certainly a word to watch for in the years ahead.
The report’s mapping shows that there weren’t any Top 100 deals made by an Australian-headquartered company in 2020. Maybe 2021 is the year to change that.
If you know of a report that you’d like us to review, send us an email at support@australiaafrica.com