Journal of African Business Issue 6

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FOREWORD Journal of African Business A unique guide to business and investment in Africa. Welcome to the Journal of African Business. The first issue of the journal was published in 2020 as an annual publication. Since then, the quarterly format has been adopted, giving our team more opportunities to bring to readers upto-date information and opinions and offering our clients increased exposure at specific times of the year. We continue to cover a broad range of topics, ranging from energy and mining to tourism and skills development. Issues relating to the emerging green economy are becoming more relevant by the day. On a continent where large numbers continue to go without electricity, there is a special urgency to this debate. In this edition, a searching analysis is included THE JOURNAL OF AFRICAN BUSINESS JUL / AUG / SEPT 2023 TACKLING THE GENDER PAY GAP More female-run businesses will mean a bigger economy and more opportunities for everyone, says NTHAKOANA MAEMA, CEO of impact incubator, Oribi. COUNTRY PROFILES | VISA-FREE TRAVEL | GREEN HYDROGEN | CONSTRUCTION HOTSPOTS on the prospects of green hydrogen for developing countries. Rod Crompton and Bruce Douglas Young of the Africa Energy Leadership Centre, University of the Witwatersrand, point out some of the potential potholes on the way to exploiting this greener power source, transport and cost being two big concerns. This article first appeared in The Conversation AFRICA. Where green hydrogen has future potential, the green minerals that Africa has in abundance are already driving investment as the world looks to make the transition away from fossil fuels. The mining team at legal alliance LEX Africa argue that Africa is well positioned to benefit. African women are benefitting from better access to financing through the medium of mobile phones, as Rashi Gupta, Group Chief Operating Officer at MFS Africa outlines, but Nthakoana Maema, CEO of impact incubator, Oribi, is clear that with regard to the gender pay gap, much still needs to be done. A snapshot of some of the continent’s busiest regions with regard to the construction sector highlights some of the factors underpinning projects, such as infrastructure spending. Travel and logistics are the focus of three articles. Trends shaping supply chains is the subject of one article. Another looks at how access to African countries has improved for travelling Africans, as illustrated by the results of the seventh 2022 Africa Visa Openness Index. Finally, ride-hailer Bolt has established itself in several African countries, pointing the way to a new kind of mobility. An important survey of CEOs has been produced. We publish the executive summary of Africa CEO Trade Survey Report 2022 by the Pan African Private Sector Trade and Investment Committee (PAFTRAC). Th e tourism industry is in the spotlight as the Radisson Group, winners of the Leading Hotel Group in Africa award, give details of their expansion plans for the continent. Global African Network is a proudly African company which has been producing region-specific business and investment guides since 2004, including South African Business and Nigerian Business, in addition to its online investment promotion platform www.globalafricanetwork.com. JOHN YOUNG Editor, Journal of African Business Email: john.young@gan.co.za Editor: John Young Publishing director: Chris Whales Managing director: Clive During Online editor: Christoff Scholtz Design: Salmah Brown. Production: Yonella Ncaba Ad sales: Venesia Fowler, Tennyson Naidoo, Sam Oliver, Tahlia Wyngaard, Gavin van der Merwe, Graeme February, Shiko Diala, Gabriel Venter and Vanessa Wallace Administration & accounts: Charlene Steynberg, Kathy Wootton, Sharon Angus-Leppan Distribution & circulation manager: Edward MacDonald The Journal of African Business is published by Global Africa Network Media (Pty) Ltd Company Registration No: 2004/004982/07 Directors: Clive During, Chris Whales Physical address: 28 Main Road, Rondebosch 7700 Postal: PO Box 292, Newlands 7701 Tel: +27 21 657 6200 | Email: info@gan.co.za Website: www.globalafricanetwork.com No portion of this book may be reproduced without written consent of the copyright owner. The opinions expressed are not necessarily those of The Journal of African Business magazine, nor the publisher, none of whom accept liability of any nature arising out of, or in connection with, the contents of this publication. The publishers would like to express thanks to those who support this publication by their submission of articles and with their advertising. All rights reserved. Printing: FA Print Member of the Audit Bureau of Circulations 4
CONTENTS CONTENTS FOREWORD From the editor’s desk. THE GENDER PAY GAP IS STILL AN UNCOMFORTABLE REALITY There’s much to be positive about, says Nthakoana Maema, CEO of impact incubator, Oribi, but still a lot more to be done. THE LOGISTICS INDUSTRY NEEDS TO ADAPT TO NEW TRENDS Flexibility and agility are the key to servicing clients. AFRICA IS MAKING PROGRESS ON VISA-FREE TRAVEL Burundi, Djibouti and Ethiopia have shown the most progress in easing travel restrictions according to the seventh 2022 Africa Visa Openness Index. RIDING FORWARD TO A GREEN FUTURE IN AFRICA Regional Manager for East and Southern Africa at Bolt, Takura Malaba, argues that ridehailing has come a long way from the days when it was seen as a flash in the pan. GLOBAL DEMAND FOR GREEN MINERALS BOOSTS AFRICAN PROSPECTS Africa is well positioned to benefit from the green mineral boom. CAN GREEN HYDROGEN WORK FOR AFRICA? Big problems must be solved before green hydrogen can be extensively used, as Rod Crompton and Bruce Douglas Young of the Africa Energy Leadership Centre explain. CONSTRUCTION HOTSPOTS Infrastructure, renewable energy and hospitality are driving renewed growth in the African construction sector. By John Young MOBILE MONEY IS EMPOWERING WOMEN IN AFRICA Financial inclusion is the most effective way of reducing inequalities, writes Rashi Gupta, Group Chief Operating Officer at MFS Africa. AFRICAN CEOS ARE POSITIVE ABOUT THE AFCFTA The Pan African Private Sector Trade and Investment Committee (PAFTRAC) has published its Africa CEO Trade Survey Report 2022 assessing the impact of the AfCFTA on African trade. THE RADISSON HOTEL GROUP IS TARGETING AFRICAN GROWTH As Radisson celebrates winning the Leading Hotel Group in Africa Award, the group outlines its strategy in building its African footprint beyond the current capacity of nearly 8 000 rooms. COUNTRY PROFILE: BOTSWANA The Jwaneng Mine is the richest diamond mine in the world by value. COUNTRY PROFILE: ZAMBIA Copper’s importance to the global economy is good for investment. When e-hailing first launched, passengers were intrigued by the innovation. However, there are still many who were sceptical about driving with a stranger. And being unsure about the processes involved is also a communication challenge. These and many other hurdles need to be overcome for Bolt to be a fully-fledged complementary service in the transport ecosystem. By studying macro-trends like rising inflation and a much higher cost of living, we can get a feel for what the future may hold. For instance, more people – especially the young generation – are moving away from buying vehicles and don’t necessarily want to own a car. They do however still need to get from A to B, safely and affordably. We believe that many will start using riding opportunities with e-hailing platforms instead of owning their own vehicles. DRIVERS ARE AN EQUALLY IMPORTANT PART OF E-HAILING DRIVERS ARE AN EQUALLY IMPORTANT PART OF E-HAILING At Bolt, the driver is an equally important part of the transport solution. It started with people seeing e-hailing as an opportunity to make additional income by driving, and now that’s changed. Today, countless businesses have grown out of it and there are many entrepreneurs who have turned one e-hailing car into a large fleet. Bolt has car owners who have decided to leave their current employment, whether they were truck operators or taxi drivers, simply because they prefer to work in a flexible environment with the potential to earn more and decide their own hours. RIDING WITH THE TIMES RIDING WITH THE TIMES Ten years ago, when Bolt first entered South Africa, we didn’t think we could move the needle on unemployment. But now we’re at a point where we have between RIDING RIDING FORWARD FORWARD TO A TO A GREEN FUTURE IN AFRICA GREEN FUTURE IN AFRICA Now established in cities across Africa in nations such as Ghana, Kenya, Nigeria, South Africa, Tanzania, Tunisia and Uganda, Bolt is proving that the phenomenon of ride-hailing is far from being a flash in the pan. Regional Manager for East and Southern Africa at Bolt, Takura Malaba, argues that ride-hailing has come a long way. Its humble beginnings rooted in a curious and innovative option to get around, now e-hailing has evolved into a safe and convenient transport alternative for many. He says that as more people look for reliability without the fuss, Bolt is a popular choice, empowering both passengers and drivers. 100 000 and 150 000 e-hailers on our roads. If South Africa can emulate mature markets where 1% of the employed population are e-hailing drivers, we’re looking at 500 000 to 600 000 people with gainful employment in the next couple of years, which is a significant number. FOCUSING ON THE PRODUCT FOCUSING ON THE PRODUCT E-hailing started with the bare minimum and was all about getting from one point to another. At the time, the team at Bolt probably thought the tech was quite sophisticated, but now we’re lightyears ahead of where we were. Safety is a cornerstone in our business, and there have been plenty of innovations in South Africa in that area. For example, we take full advantage of AI with driver-selfie verification, which combats people renting out their profiles to be impersonated by others. Using machine learning, these selfies go into government databases to be compared with the pictures found in documentation like ID photos. This means our drivers are vetted and all sign on to be safety ambassadors for our brand. CREATING EMPLOYMENT, ONE DRIVER AT A TIME E-hailing provides drivers with great earning potential while also offering rural and township residents access to job opportunities in cities, a gap the traditional public transport simply isn’t able to fill. E-hailing is one of the pillars to solve or at least alleviate the transport challenges we face. If you look at South African transportation as an ecosystem, we’re simply plugging into it. It’s not here to replace other public transport, but rather to provide value in the form of reliability and safety and to ensure that the price point is relevant for the consumers in our market. LOOKING TO AFRICA LOOKING TO AFRICA One of our agendas at Bolt is to go green and initiate sustainability programmes. Depending on maturity, our markets have electric vehicle categories and we’re looking to introduce that to Africa. Each market is different, but we have our sights set on a green future. One area we are looking at is liquid petroleum gas kits for drivers to add to their vehicles. In essence, this allows them to run liquid petroleum alongside traditional petroleum gas, which converts to a 15-20% saving in both emissions and efficiency. And this is only the first step. It’s been an incredible journey so far with many exciting innovations. We are no longer a lifestyle convenience for a niche group of affluent people but now we are an important transportation option for many. We’ve only caught a glimpse of our potential to shape cities and empower people, and our eyes are set on the road ahead. ABOUT BOLT Bolt is the European super-app, with over 100-million customers in more than 45 countries across the globe. We’re making cities for people, offering better alternatives for every purpose a private car serves – including ride-hailing, shared cars, scooters, and food and grocery delivery. We believe that most trips in the city don’t require the use of a personal car. At Bolt, we’re building a future in which people are no longer forced to buy a car to get around. Where people have the freedom to use transportation on demand, choosing whatever vehicle is best for each occasion. Passengers enjoy the flexibility of ride-hailing services. point to another. At the time, the team at Bolt probably thought the tech was quite sophisticated, but now we’re lightyears ahead of where we were. Safety is a cornerstone in our business, and there have been plenty of innovations in South Africa in that area. For example, we take full advantage of AI with driver-selfie verification, which combats people renting out their profiles to be impersonated by others. Using machine learning, these selfies go into government databases to be compared with the pictures found in documentation like ID photos. This means our drivers are vetted and all sign on to be safety ambassadors for our brand. CREATING EMPLOYMENT, ONE DRIVER AT A TIME CREATING EMPLOYMENT, ONE DRIVER AT A TIME E-hailing provides drivers with great earning potential while also offering rural and township residents access to job opportunities in cities, a gap the traditional public E-hailing is one of the pillars to solve or at least alleviate the transport challenges we face. If you look at South African transportation as an ecosystem, we’re simply plugging into it. It’s not here to replace other public transport, but rather to provide value in the form of reliability and safety and to ensure that the price point is One of our agendas at Bolt is to go green and initiate sustainability programmes. Depending on maturity, our markets have electric vehicle categories and we’re looking to introduce that to Africa. Each market is different, but we have our sights set on a green future. One area we are looking at is liquid petroleum gas kits for drivers to add to their vehicles. In essence, this allows them to run liquid petroleum alongside traditional petroleum gas, ABOUT BOLT ABOUT BOLT Bolt is the European super-app, with over 100-million customers in more than 45 countries across the globe. We’re making cities for people, offering better alternatives for every purpose a private car serves – including by others. Using machine learning, these selfies go into government databases to be compared with the pictures found in documentation like ID photos. This means our drivers are vetted and all sign on to be safety ambassadors for our brand. E-hailing provides drivers with great earning potential while also offering rural and township residents access to job opportunities in cities, a gap the traditional public E-hailing is one of the pillars to solve or at least alleviate the transport challenges we face. If you look at South African transportation as an ecosystem, we’re simply plugging into it. It’s not here to replace other public transport, but rather to provide value in the form of reliability and safety and to ensure that the price point is One of our agendas at Bolt is to go green and initiate sustainability programmes. purpose a private car serves – including ride-hailing, shared cars, scooters, and food and grocery delivery. We believe that most trips in the city don’t require the use of a personal car. At Bolt, we’re building a future in which people are no longer forced to buy a car to get around. Where people have the freedom to use transportation on demand, choosing whatever vehicle is best for each occasion. Takura Malaba Dar es Salaam, Tanzania, where Bolt offers its services. Bolt has more than three-million drivers and couriers worldwide. 15 14 RIDE-HAILING RIDE-HAILING TThe Pan African Private Sector Trade and Investment Committee (PAFTRAC) has published its Africa CEO Trade Survey Report 2022 assessing the impact of the AfCFTA on African trade. The 2022 report is the second edition of the PAFTRAC CEO Trade Survey. What follows is the executive summary of that document. AFRICAN CEOS ARE POSITIVE ABOUT THE AFCFTA AFRICAN CEOS ARE POSITIVE ABOUT THE AFCFTA The scale of the research was greatly increased for this edition, with more indepth questions and far more chief executives taking part. When the survey was conducted, it was approaching 18 months since the start of trading under the African Continental Free Trade Area (AfCFTA) was announced, so African businesses are gaining more insight about its potential benefits and challenges. As the world’s largest free-trade-area initiative, the AfCFTA is a much-needed project given that companies of all sizes across the continent are desperate to identify new markets and boost exports. Implementing the continental free trade area will be a long process that will be achieved by thousands of small steps. Making the required legislative and regulatory changes depends on the political will of all of the governments involved to make it a reality. However, mistrust could easily restrict implementation, particularly where businesses on one side of the border fear increased competition from perhaps more economically developed markets. One of the more surprising results of the survey was that 70% of respondents said that despite all the obstacles and the fact that intra-African trade accounts for just 16% of total African trade, they already export goods or services to other African countries. It is even more unexpected given that most of the survey participants lead small and medium-sized enterprises (SMEs) rather than large corporations. However, the vast majority export services rather than goods within Africa, underlining the fact that physical and regulatory obstacles continue to deter trade in goods. At present, the vast majority of African CEOs believe that the AfCFTA will have a positive impact on both levels of intra-African trade and on their own companies, with just 4% expecting it to have a negative impact. The AfCFTA is widely expected to help businesses open up new markets for goods and services, while reducing the cost and bureaucracy attached to exports. TRANSPORT NETWORKS MUST IMPROVE TRANSPORT NETWORKS MUST IMPROVE Some of the findings of the report are less surprising. For instance, the transport infrastructure required to trade goods between African states is lacking in most areas. Rail and road networks were developed on a national basis, with far too few cross-border links on which to carry freight. There are often too few customs posts, while many of those that do exist are slow and cumbersome. Regulations often demand that the same cargo is checked on each side of a border, while some countries have been slow to adopt digital bills of lading, letters of credit and other trade documents. Regulatory changes come down to a matter of political will and administrative competence but upgrading transport infrastructure requires financing that will be difficult to secure. The growing penetration of digital banking services should make paying for imports easier but it is vital that the digital transformation is supported by both regulators and governments. Half of the exporters surveyed said that their companies still required cash in advance on cross-border deals, although letters of credit are also fairly popular. This may be the result of a lack of trust as well as difficulty in securing hard currency, while many banking platforms still do not allow the use of African currencies. However, a solution is already on the horizon in the form of Afreximbank’s Pan-African Payment and Settlement System (PAPSS), so it will be interesting to see how quickly that is embraced by traders. CLEAR INFORMATION NEEDED CLEAR INFORMATION NEEDED The report clearly demonstrates that African businesses find it difficult to locate detailed information on the AfCFTA. Progress will be much slower if the rules on trade are not widely understood and kept up to date. Moreover, the results of the survey reveal that the lack of information on markets, opportunities and trading partners is the biggest constraint on exports. Indeed, 70% of respondents called for a fully functioning online one-stop information shop but sufficient resources need to be put in place to make such an undertaking operate effectively. Solutions to the information deficit could come in the form of digital platforms provided by the AfCFTA Secretariat or private sector information providers. Other constraints to increased levels of trade cited by the participants include unfair competition, subsidies, political stability in target markets and a lack of security. The ease of trade varies considerably across the continent, with East and Southern Africa considered to be the best places to do business. North Africa was rated almost as a difficult a region in which to trade as Central Africa. Despite the fact that Morocco, Tunisia and to some extent Egypt are thriving manufacturing centres, their economies are geared around exporting goods to Europe and elsewhere, rather than to the rest of Africa. Greatly improving trade flows in Central Africa could have a huge impact on the continent as a whole because it lies at the heart of the continent. In particular, new railways across the region would benefit not only local companies but would boost trade between West and East Africa. ABOUT PAFTRAC ABOUT PAFTRAC The Pan-African Private Sector Trade and Investment Committee (PAFTRAC) unites African leaders from the private sector and provides a unique advocacy platform, bringing together the African private sector and African policymakers to support extra- and intra-African trade, investment and pan-African enterprise. The platform drives pan-African results by providing a framework for private sector engagement in trade and investment issues in Africa, including policy formulation and trade negotiations to support African economies in line with the ambitions of Agenda 2063: “The Africa We Want”. PAFTRAC enhances advocacy and supports policy actions and recommendations of the private sector on trade and investment issues at the national, trade corridor, regional and multilateral levels. Volumes are expected to increase with fewer tariffs being imposed on intra-African trade. Credit: Frank McKenna on Unsplash The implementation of the AfCFTA should bring an end to long queues of trucks at border posts Credit: SANRAL 25 24 TRADE RESEARCH TRADE RESEARCH A THE RADISSON HOTEL THE RADISSON HOTEL GROUP IS TARGETING GROUP IS TARGETING AFRICAN GROWTH AFRICAN GROWTH As Radisson celebrates winning the Leading Hotel Group in Africa award, the group outlines its strategy in building its African footprint beyond the current capacity of nearly 8 000 rooms. At the 2022 World Travel Awards held in Dubai, Radisson Blu took home the prestigious Leading Hotel Group in Africa award. The award is a validation of the work done by the group and its accelerated expansion across the continent over the past few years. But it’s also an important milestone in a journey that started more than 60 years ago and which has seen Radisson Blu become an iconic hospitality brand around the globe, including on the African continent. Along with the luxury Radisson Collection, Radisson, Radisson Red, Radisson Individual and several other brands, Radisson Blu forms part of the Radisson Hotel Group. The group’s journey began in 1960 with the opening of the world’s first designer hotel in Copenhagen, Denmark. That hotel, now the Radisson Collection Royal Hotel, Copenhagen, is still operating successfully. “From those early beginnings, we’ve always tried to ensure that the hotels within the group set themselves apart,” says Tim Cordon, COO Middle East and Africa – Radisson Hotel Group. “We always have, and will continue to, focus our work on delivering Memorable Moments, acting as a true host, and being the best partner.” The Radisson Blu brand, meanwhile, emerged after SAS International Hotels signed a franchise agreement with Carlson Hotels to manage the Radisson brand in Europe, the Middle East and Africa (EMEA) in 1994. Initially known as Radisson SAS, the Radisson Blu brand was birthed in 2009. A year later, it became the largest upscale hotel brand in Europe. Today, there are more than 380 Radisson Blu locations worldwide, all aiming to provide memorable moments by providing unparalleled service, comfort and style while creating meaningful and memorable experiences. AFRICAN PRESENCE IS GROWING AFRICAN PRESENCE IS GROWING The brand has an established presence in Africa, too, with what is now Radisson Blu Waterfront Hotel in Cape Town South Africa opening at the dawn of the new millennium. In the following years, it would continue to grow its presence across the continent, steadily building and expanding a substantial portfolio of properties. “Our goal is always to create ‘more meaningful and memorable experiences in a stylish environment’. In doing so, we recognise that our guests are travelling with a purpose and that it’s therefore important that we’re there to support them in even the smallest of ways. That commitment is as strong in Africa as it is in the rest of the world”. says Cordon. “We also look to ensure that our guests are inspired and connected with likeminded individuals,” Tim adds. “We do so by creating and facilitating networking opportunities and keeping them mentally and physically nourished on a busy day. Our commitment to guests is also reflected in the design of our properties, creating a stylish environment that enables our great experiences. We’re always there to keep our guests inspired through our on-trend public space design features.” In more recent years, Radisson Blu has significantly grown its African presence. Currently, the Radisson Blu brand has nearly 40 hotels on the continent, either in operation or under development. From Casablanca in the north to Cape Town in the south, with almost 8 000 rooms. “Africa is critical to the next phase of growth for both Radisson Blu and the Radisson Hotel Group as a whole,” Tim says. “We are continuously inspired by the innovation and enterprise we see throughout the continent, and we look forward to opening more hotels in the near future. “Our category win in the World Travel Awards validates everything we have done in Africa to date,” Cordon concludes. “It has also strengthened our determination to keep delivering the magical moments that Radisson Blu is renowned for to new and existing customers alike.” ABOUT RADISSON BLU ABOUT RADISSON BLU Radisson Blu is an upper-upscale hotel brand that delivers positive and personalised service in stylish spaces. Radisson Blu hotels are designed to make a big difference and inspire unforgettable experiences with every stay. Radisson Blu hotels can be found in major cities, key airport gateways and leisure destinations. Radisson Blu is part of the Radisson family of brands, which operates under one commercial umbrella brand, Radisson Hotels, and can be found around the world in more than 120 countries, with currently over 1 700 hotels in operation and under development. Africa is critical to the next phase of growth for both Radisson Blu and the Radisson Hotel Group as a whole Radisson Blu Mosi-Oa-Tunya, Livingstone Resort, is located within the Mosi-Oa-Tunya National Park in Zambia. Tim Cordon, Radisson Hotel Group COO, Middle East and Africa An artist’s impression of the Radisson Hotel Casablanca Gauthier La Citadelle, which is set to open in 2023 27 26 HOTEL AWARDS HOTEL AWARDS D Burundi, Djibouti and Ethiopia have shown the most progress in easing travel restrictions according to the seventh 2022 Africa Visa Openness Index, published by the African Development Bank Group and the African Union Commission. AFRICA IS MAKING PROGRESS ON VISA-FREE TRAVEL AFRICA IS MAKING PROGRESS ON VISA-FREE TRAVEL Despite Covid-19 lockdowns and travel disruptions, 93% of African countries have maintained or improved their score on the Africa Visa Openness Index (AVOI) relative to 2021. Two-thirds of African countries have adopted more liberal visa policies compared to six years ago. The 2022 Africa Visa Openness Index report shows African countries making progress in their freedom of travel policies, most of which had been severely curtailed by the Covid-19 crisis. The annual publication, prepared by the African Development Bank Group in collaboration with the African Union Commission, is now in its seventh edition and was launched on the sidelines of the 2022 African Economic Conference in Mauritius. The report tracks visa policies adopted by African governments on three main criteria: whether entry to citizens from other African countries is visa-free, if a visa on arrival can be obtained, and whether travellers are required to obtain visas ahead of travelling to other African countries. The 2022 report underlines the impact of the Covid-19 pandemic in 2020 and 2021, during which most countries restricted movement, both domestically and for international travel. Restrictions on international travel ranged from closing entire borders to quarantines, screening measures, and bans on visitors from countries deemed “high risk”. Domestic restrictions included a gamut of measures such as prohibitions on travelling between provinces, bans on non-essential movement, curfews and rules that limited gatherings. The 2022 report reflects on renewed signs of progress: 10 countries improved their visa openness score over the past year and visa openness on the continent now exceeds that recorded during the year prior to the Covid-19 pandemic and is in line with the peak score achieved in 2020. Progressive visa policies that increase visa-free entry or to visa on arrival policies will ensure that this positive trend continues. The use of technology and a greater adoption of eVisa systems will help fast-track the ease at which travellers can cross borders. HIGHLIGHTS OF THE 2022 AFRICA VISA OPENNESS INDEX HIGHLIGHTS OF THE 2022 AFRICA VISA OPENNESS INDEX • African travel has become more open to African citizens in 2022, with fewer restrictions overall. There is now an even split between travel that is visa-free, and travel where a visa may be obtained on arrival at the destination country. • Three countries, Benin, The Gambia and the Seychelles, offer visa-free entry to Africans of all other countries. In 2016 and 2017, only one country did so. • 24 African countries offer an eVisa, five more than five years ago. • 36 countries have improved or maintained their Visa Openness Index score since 2016. • 50 countries have maintained or improved their Visa Openness Index score relative to 2021, usually after removing some of the visa policy restrictions implemented during the pandemic. • 48 countries out of 54, the vast majority of African countries, now offer visa-free travel to the nationals of at least one other African country. • 42 countries offer visa-free travel to the nationals of at least five other African countries. Interestingly, lower-income countries account for a large share of the countries that make up the top-20 ranked countries in 2022 with liberal visa policies: 45% of countries in the top-20 on the index are classified as low-income countries, while a further 45% of countries are classified as lower middle-income. EVisas allow prospective travellers to apply for a visa from the comfort of their home or workplace ahead of travel, streamline the application process, reduce time at borders, provide a greater measure of certainty ahead of travel, reduce the need to submit a passport for processing to consular offices and make travel safer and more secure. African Union Commission Deputy Chairperson Dr Monique Nsazabaganwa, says of the report, “This edition links free movement to the development of regional value chains, investments, trade in services and the AfCFTA. There is greater recognition that human mobility is key to Africa’s integration efforts.” African Development Bank Group Acting Vice President in charge of Regional Development, Integration and Business Delivery, Marie-Laure Akin-Olugbade, remarked, “The Africa Visa Openness Index has been tracking visa openness as a measure of the freedom of movement since 2016. This year’s edition shows many African countries having greatly simplified their visa regime over the past year.” The 2022 edition of the report showcases three countries that have made the most progress in their visa openness, namely Burundi, Djibouti and Ethiopia. Ethiopia in particular has risen several places on the index to retain its position in the continent’s top-20 performers after removing the temporary measures instituted in 2021. In an innovation, the report provides an analysis of free movement of persons at regional economic community level in Africa. The Economic Community of West African States (ECOWAS) and the East African Community are the most open communities, with ECOWAS hosting eight of the top 10 countries. Commenting on the report, African Development Bank Group Acting Director in charge of the Regional Integration Coordination Office Jean-Guy Afrika, said, “The Africa Visa Openness Index has tracked the evolution of visa regimes on the African continent from before the pandemic to today. As the 2022 report shows, African countries are dismantling many of the measures imposed during the pandemic. Indeed, on the whole, the continent has returned to a level of visa openness last seen just before the pandemic began.” SOME KEY STATISTICS SOME KEY STATISTICS + For 27% of intra-Africa travel – travel by African citizens between African countries – African citizens do not need a visa, up from 25% in 202. + For 27% of intra-Africa travel, African citizens can obtain a visa on arrival, up from 24% in 2021. + For 47% of intra-Africa travel, African citizens are still required to obtain a visa before travelling, an improvement on the 51% in 2021. ABOUT THE AFRICA VISA OPENNESS INDEX ABOUT THE AFRICA VISA OPENNESS INDEX The Africa Visa Openness Index measures the extent to which African countries are open to travellers from other African countries. Published yearly since 2016, the AVOI tracks changes in countries’ scores over time to show how national policies evolve on the freedom of movement across Africa. View the Africa Visa Openness Report at: www.VisaOpenness.org The seventh Africa Visa Openness Index was launched at the African Economic Conference in December 2022 Credit: African Development Bank Group Credit: Nairobi National Park Check-in desks at Jomo Kenyatta International Airport Credit: Kenya Airports Authority 13 12 TRAVEL RULES TRAVEL RULES Contents Contents The Journal of The Journal of African Business African Business 2 4 8 12 12 14 14 16 16 18 18 20 20 22 22 24 24 26 26 28 28 29 29 ZAMBIA ZAMBIA Copper’s importance to the global economy is good for investment. Capital: Lusaka. Other towns/cities: Kitwe, Ndola, Kabwe. Population: 20.2-million (2023). GDP: $25.7-billion (2017). GDP per capita: $3 200 (2021). Currency: Kwacha. Regional Economic Community: Common Market for Eastern and South Africa (COMESA), Southern African Development Community (SADC). Land mass: 752 617km². Coastline: Landlocked. Resources: Beef, cassava, maize, milk, vegetables, soybeans, beef, tobacco, groundnuts, sugar cane, wheat. Copper, coal, cobalt, emeralds, gemstones, lead, silver, uranium, zinc. Main economic sectors: Copper mining and processing, emerald mining, chemicals, textiles, fertilizer. Other sectors: Construction, foodstuffs, beverages, horticulture. New sectors for investment: Agribusiness, energy, retail and tourism property, telecoms. Key projects: The International Finance Corporation has initiated the Multilateral Investment Guarantee Agency for projects in agribusiness, manufacturing, financial and energy sectors. Chief exports: Copper, cement, gemstones, gold, tobacco. Top export destinations: Switzerland, China, Namibia, Democratic Republic of the Congo, Singapore. Top import sources: South Africa, China, United Arab Emirates, Democratic Republic of the Congo, India. Main imports: Copper, fertilizers, medicines, petroleum, trucks. Infrastructure: Roads: 67 671km, of which 14 888km paved. Port: Mpulungu river port. Airports: 88, eight of which are paved. Railways: 3 126km, includes Tanzania-Zambia Railway Authority (TAZARA). ICT: Mobile subscriptions per 100 inhabitants: 104. Internet percentage of population: 21 (2021). ICT Development Index 2017 (ITU) world ranking: 146 (17th in Africa). Climate: Tropical climate modified by altitude and proximity to lakes. Lake Kariba is the world’s largest reservoir by volume and Lake Tanganyika is among other large lakes. The Congo and Zambezi are the major rivers. Rainy season is October to April. Religion: Mostly Christian, of which 20% Catholic. Modern history: Many of the population are poor and subsistence agriculture is widespread. Copper has underpinned Zambia’s export economy for many years. There has been a recent surge in interest because of copper’s importance to the cleaner industrial process that the world needs. Rapid growth has been experienced because of good copper prices on the global market but with the country’s population expected to triple by 2050, huge social challenges remain. In addition, being so dependent on copper can mean that the country’s economy, and its people, struggle when prices are depressed. The battle for independence culminated in Zambia being founded in 1964. The opening of the Tan-Zam railway line in 1975 allowed Zambian copper to be exported without relying on then Rhodesia or what was then apartheid South Africa. Kenneth Kaunda ruled a one-party state from 1972 to 1991, having been in power from independence. President Chiluba ruled from 1991 to 2001, after which a period of closely contested elections followed. In 2021, Hakainde Hichilema won 59% of the vote with 70% of the eligible voting public registering their choices. Sentinel Copper Mine is Zambia’s biggest mine. Credit: First Quantum Minerals Copper’s importance to the global economy is good for investment. Copper’s importance to the global economy is good for investment. 29 COUNTRY COUNTRY PROFILE PROFILE 5
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Page 9 and 10: GENDER PAY GAP AFRICAN WOMEN IN STE
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Page 20 and 21: CAN GREEN HYDROGEN WORK FOR AFRICA?
Page 22 and 23: The Nachtigal hydroelectric facilit
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Page 28 and 29: THE RADISSON HOTEL GROUP IS TARGETI
Page 30 and 31: BOTSWANA The Jwaneng Mine is the ri

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