Kenya: Public Diplomacy and Regional Stability Initiatives News.

Kenya is one of three top markets on the continent that international private equity firms will be looking to enter this year through mergers and acquisitions. The country has been ranked third after South Africa and Nigeria, in a new merger markets survey by global consulting firm, Control Risks. In East Africa, Tanzania took second position after Kenya, followed by Uganda and Rwanda.

The survey notes that Kenya’s increased consumer spending and greater trading among members of the economic bloc makes it a favourite among investors seeking M&A deals in the region this year.

The optimism about increased deals in 2016 is pegged on the region’s strong economic growth in 2015. East Africa had an estimated GDP growth of 5.6 per cent last year, compared with 4.6 per cent for sub-Saharan Africa. The African Development Bank projects that the region’s GDP will grow to 6.7 per cent this year.

According to Maria Knapp, director for Europe and Africa at Control Risks, the insurance sector will remain the likeliest focus area for deals due to its high growth potential as well as higher capital demands.

Source: Geeska Afrika Online
Published on: 26th February 2016