2014: a year in data – Africa
Corruption remains a core issue
A pulse survey on corporate finance in Sub-Saharan Africa, published in September, highlighted the continuing problem of corruption in the region.
A Google search of the terms “corruption” and “Africa” returns 127,000,000 results, ranging from blog posts detailing first-hand experiences, to news headlines and working papers from international organisations.
|A Twitter search for the same terms results in a list of tweets going back almost to the first day the social media service was launched. Although, according to data from communications firm Portland, football is actually the most talked about subject on Twitter from accounts set up in Africa.
Sub-Saharan Africa’s capital markets continue to make up a tiny proportion of overall global investment banking activity. Investment banking fees for the region in the first eight months of the year totalled less than $200 million, a fraction of a global fee pool of close to $60 billion, according to data from Thomson Reuters.
Abebe Aemro Selassie, deputy director of the IMF’s African department, urges policymakers in sub-Saharan Africa (SSA) to focus on making sure banking systems are robust. Rather than looking for short-term rewards of opening credit lines, he wants to see well-capitalized and regulated banks in countries where fiscal deficits are controlled.
Euromoney Country Risk’s expert panel identifies corruption as the main political risk factor in most countries in the region, though overall economic risk has fallen since 2011.