Namibia among top best places for business in Africa

Namibia has been ranked 5th in Africa for having an economy with the most supportive environment for effective markets, according to a latest Absa Africa Financial Markets Index.

South Africa tops the list, followed by Mauritius, Nigeria and Botswana.

The index, which evaluates financial market development in 23 countries, assesses countries according to six ‘pillars’, namely market depth; access to foreign exchange; market transparency, tax and regulatory environment; capacity of local investors; macroeconomic opportunity; and the enforceability of financial contracts.

The index also aims to show the present positions, as well as how economies can improve market frameworks to bolster investor access and sustainable growth, according to the research done in collaboration with the Official Monetary and Financial Institutions Forum (OMFIF).

OMFIF uses data from central banks, securities exchanges and international financial institutions in its research. It surveyed over 50 policy makers, regulators and executives from financial institutions operating across the 23 countries, including banks, securities exchanges, central banks, regulators, audit and accounting firms, and international financial and development entities.

OMFIF describes itself as an independent think tank for central banking, economic policy and public investment – a non-lobbying network for best practice in worldwide public-private sector exchanges.

Namibia scored 61 from 65 the previous year in the Absa Africa Financial Markets Index published this week.

The country had a score of 48 for depth of its capital markets and 54 for access to foreign exchange, with 100 being the highest.

Namibia was highest ranked country in Africa when it comes to capacity of local investors with a score of 92, while it scored 71 for market transparency, tax and regulatory environment.

“Namibia leads Pillar 4: Capacity of local investors. Its pension funds have shown rapid growth in recent years and the country now has the highest level of pension assets per capita in the index.”

On the Macroeconomic opportunity pillar the country scored 70 and lowly at 31 for Legality and enforceability of standard financial markets master agreements.

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Last modified on Sunday, 17 October 2021 18:06

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