Marketing
Marketing in Africa- The Next Half Of The Decade
By Isaac Ngatia
Happy new year as this is my column first piece in 2025. I was just going through the plans for the year, and it just hit me we are halfway through this decade- the 2020s! The first half was quite a challenge, mainly due to the Covid-19 pandemic. This not only wreaked havoc to economies around the world. It had consequences some of whose impact is being felt to date. All in all, the second half has started – the one that will usher us to the 2030s. Talking of second half sounds like it is a game! Well, Morocco has been confirmed as a co-host of the FIFA World Cup in 2030. Before getting that far, South Africa is hosting the G20 Summit this year!
I have highlighted these two events to connect this half of remaining decade. Africa stands on the cusp of a transformative time, poised to redefine its place on the global stage. Driven by a confluence of factors, including economic growth, a growing emphasis on regional integration, the continent is poised to unlock its immense potential. This period, spanning 2025 to 2029, promises to be one of unprecedented change, marked by ambitious economic reforms, technological advancements, and a renewed focus on sustainable development.
The bedrock of this optimistic outlook lies in the continent ' s projected economic growth trajectory. Sub-Saharan Africa is anticipated to maintain a robust growth rate, averaging around 4.2 % annually between 2025 and 2029. This growth will be fuelled by a diverse range of factors, including increased investment in key sectors like infrastructure, agriculture, and manufacturing. The burgeoning consumer market, driven by a growing middle class, will further stimulate economic activity, creating new opportunities for businesses and entrepreneurs.
The AfCFTA: A Catalyst for Transformation
In the book Mwafrika, I have covered a section on the potential impact of the African Continental Free Trade Area( AfCFTA). This will be a significant development if the implementation of landmark agreement that aims to create a single market for goods and services across the continent continues unhindered. According to the African Regional Organization of the International Trade Union Confederation( ITUC-Africa), intra-African trade is projected to increase by over 50 % due to the implementation of the AfCFTA.
Hence, by dismantling trade barriers, such as tariffs and non-tariff barriers, the AfCFTA promises to unleash the continent ' s economic potential. Increased intra-African trade will not only boost economic growth but also foster greater economic integration, leading to the creation of regional value chains and the emergence of new industries. In my view, movement of people across the continent remains a challenge. Marketers need to seamlessly travel across the continent! Right?
By eliminating trade barriers, AfCFTA will:
The first half of this decade has seen a resurgence of conflicts and political instability. These conflicts pose significant barriers to economic growth and development in Africa. Instability disrupts economic activities, displaces populations, and undermines efforts to build strong institutions and governance structures.
Stimulate industrial growth: It will reduce production costs, making African goods more competitive in both regional and global markets. This will encourage the development of value-added industries, such as manufacturing and agro processing.
Enhance market access: It will provide African businesses with access to a larger market of over 1.3 billion people, creating new opportunities for growth and expansion.
Foster innovation and competition: As it will encourage businesses to become more efficient and competitive, leading to
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