The second edition of Companies to Inspire Africa 2019 Report by London Stock Exchange (LSE) is out. This impressive report lists 360 privately-held companies operating in 32 different African countries. It identifies Africa’s most inspirational and dynamic private, high-growth companies to a global market.
Business growth across Africa has greatly improved from an average compound annual growth rate (CAGR) of 16 percent in 2017, to the current 46 percent in three years. The report represented the seven most important industry sectors and featured companies both small and established. These companies ranged from SMEs to giant African corporations.
Nigeria led the countries in the report producing 97 companies. Kenya came second with 66 firms in the report while Uganda provided 31. The three major sectors of Agriculture, Industry and Consumer Services accounted for more than half of all companies featured. Coming second with more than a quarter of companies represented were the sectors of Technology and Telecoms together with Financial Services. Additionally, Renewable Energy together with Health and Education sectors also registered a significant representation.
Best Sectors Inspiring Growth In Africa
These are the represented sectors in the Companies to Inspire Africa, with their respective number of featured companies;
- Consumer Services had 79 companies, up from 49 in 2017.
- Industry had 77 companies, down from 81 in 2017.
- Agriculture with 53 companies, up from 46 in 2017).
- Technology & Telecoms with 51 companies, down from 56 previously.
- Financial Services with 48 companies, down from 66 in 2017.
- Healthcare & Education with 31 companies shooting up from 19.
- Renewable Energy had 21 companies dropping from 29 in 2017.
African-focused trade groups and investors, African government representatives and the CEOs of the featured companies, and others graced the launch of this 148-page report. The CEO of LSE Group, David Schwimmer was joined by International Development Secretary of Britain, Penny Mordaunt in welcoming the guests.
“Africa is going through a period of enormous change. And, with five of the world’s fasting-growing economies are African and by 2050 a quarter of the world’s population will live there, this growth presents unique opportunities for us all,” Mordaunt, who is also the MP for Portsmouth North, commented. She also noted that if African-initiated dreams were combined with British expertise, more investments and jobs would ensure for Africa and United Kingdom.
Companies to Inspire Africa 2019 Led By Women CEOs
An analysis of the 2019 Companies to Inspire Africa report and the sectors involved in this growth reveals some impressive trends. The average number of employees in these companies is 363 while CAGR stands at 25 percent in three years.
The number of companies led by women almost doubled this year accounting for 23 percent of the featured firms. Senior female management had the greatest bang in Healthcare & Education sector where 39 percent of companies have women CEOs. This was closely followed by Financial Services sector where women are leading as CEOs in 31 percent of companies represented. To illustrate this even more, out of the 20 Ghanaian companies in the report, 10 of them are led by women.
Companies to Inspire Africa by Regions
This report shows and reaffirms the West-East axis dominance in Africa. As noted before, the two leading countries came from the two African divides of West and East. Nigeria represented West Africa and Kenya did it for East Africa. In total, Western Africa had about 36 percent of companies (130) while Eastern Africa had about 41 percent (147).
The rest of Africa is also well represented in the report. This is because Southern Africa provided 47 companies, while Northern Africa brought 26. Additionally, Central Africa gave 6 companies to sum it up.
“These high growth companies have the potential to transform the African economy and become tomorrow’s job creators. We are committed to helping companies realize that potential and we are pleased to highlight and celebrate the company success stories behind one of the world’s fastest growing markets,” Schwimmer commented.