Opportunity beckons in Africa as markets mature; incomes grow and trust in financial services increases.
The political changes in Zimbabwe, for instance, have opened the door for the repatriation of money back into that country, while there is a shift to externalize funds in economies that have exchange controls.
Exchange controls and policy changes, together with political stability, remain crucial factors dictating levels of demand for international banking solutions.
Namibia has reviewed its exchange controls and is, therefore, experiencing far more interest in offshore banking solutions. Externalisation of money from a country like Kenya, in contrast, remains high due to the large number of International organisations, NGOs and foreign multinationals headquartered there and in need of sophisticated international banking solutions.
The local political environment will continue to contribute strongly to any future increase or decrease of wealth in Africa – at 51percent (according to Knight Frank) this factor is much higher than the 14percent globally.
A lot of decisions will be made based on the political conditions and regulations and these need to be well understood.
Increased wealth is driving the need for advanced, bespoke international banking solutions.
(Source: iol.co.za)
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