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Senegal comes to the fore as Africa’s hottest investment location
November 25, 2014Article by Charlotte Ashton
Senegal’s economy is going from strength to strength. Serigne Moustapha Sene, head of Senegal’s forecast and economic studies office has revealed that the country expects to achieve growth of 5.4% during 2015. The projection comes on the back of solid 3.5% growth in 2013 and anticipated growth of 4.5% during 2014. Sene comments,
“We expect an economic growth rate of 5.4 percent in 2015 thanks to public investments in the energy, agriculture, tourism and infrastructure sectors.”
A growing economy
Agricultural investment in Senegal has attracted an increasing amount of attention from investors around the globe in recent years. Ray Withers, Chief Executive of specialist property investment company Property Frontiers, explains,
“Senegal is one of West Africa’s most enticing countries from an investment perspective. As a stable democracy with ambitious economic goals, it is a great place for investors looking for dynamic opportunities with strong returns.”
Property Frontiers’ structured agricultural investment in Senegal epitomises the kind of attention-grabbing deals available. Thanks to the rotation farming method being employed, which will see several crops raised on the land, returns of 239% are expected over the five years, and all from a low entry point of just £20,000.
A thriving project
The agricultural investment project is well underway. A lighter than usual rainy season has emphasized the value of the project’s emphasis on irrigation systems, which enabled okra to be planted in September, following the planting of a rice crop in August. Onions are being planted as soon as the daytime temperatures drop to their winter levels.
The rice crop has been planted in line with Senegal’s target to become self-sufficient in terms of its rice supply by 2017 (it currently imports 700,000 MT of rice per year). Thus the SAED government agency worked with the project to prepare the land for the rice free of charge, as well as supplying goods at a discounted price.
The past few months have seen several staff members join the project in line with the planning schedule. Local employment is benefitting, at the same time as the crops produced are aiding Senegal’s food security.
Feeding the future…
Senegal is actively working to ensure that its economic success continues to increase. A donor conference earlier this year saw President Macky Sall secure some $7.8 billion worth of pledges as part of an economic diversification plan. The aim is for Senegal to double its economic growth rates over the coming decade, singling it out as a leading West African economy with a strong and stable financial foundation.
On a micro scale, projects such as Property Frontiers’ agricultural investment are securing the country’s economic future at local level, through job creation and enhanced food security. Investors can thus not only make excellent returns, but also enjoy being part of a project that is helping to enhance Senegal’s future.