Retail industry in Africa has seen a tremendous growth in recent years, mostly as a result of rising purchasing power, strong appetite for consumer goods, and high growth potential driven primarily by its large population. According to the below article, combined spending power in the continent will reach an all time high of $1.3 trillion by 2030. Nigeria is currently leading the way, but also other countries such as Ghana and Angola are expanding. There are as well some challenges that investors are looking at when taking their decisions: “land, induced high borrowing costs, and short duration of bank financing are just some of the factors that could hamper the growth”. Nevertheless the recent investments in the continent by european retail giants like Spar and Carrefour can show how much potential this sector has in Africa.
Africa Retail Industry Spending To Hit $1.3 Trillion By 2030