ABSA on Africa-Middle East trade activity

The trade flows between the Middle East and Africa are witnessing significant growth and opportunities, as discussed by Premeshin Naidoo, MD for the Middle East & Asia at Absa Bank, in an exclusive interview with CNBC Africa. Naidoo highlighted the dynamic landscape of Dubai and its strategic role in facilitating trade and investments between the two regions. Dubai's exceptional development over the years has positioned it as a key player in fostering economic partnerships with Africa. The city's visionary approach, supported by robust capital resources, has set the stage for enhanced collaborations with African businesses and governments. Naidoo emphasized the pivotal role of Africa in Dubai's growth agenda, citing the continent's demographic potential, infrastructural needs, and transformative opportunities. Dubai Chambers' expansion of offices across Africa underscores the growing importance of the continent as a strategic hub for business growth and development. Various sectors such as consumer goods, commodities, and services are witnessing increased investments, fueled by Dubai's financial prowess and trade mechanisms. The interview delved into the vast spectrum of investment opportunities spanning across different geographies within Africa. Naidoo highlighted significant investments between Dubai and Africa, including notable acquisitions and concessions in countries like Tanzania. The influx of foreign direct investment, particularly in the infrastructure and renewable energy sectors, reflects a burgeoning interest in Africa's economic potential. Naidoo also discussed the financing challenges faced by businesses due to currency risks and dollar availability, pointing out the importance of providing liquidity solutions to facilitate seamless trade transactions. As the UAE joins the BRICS cluster, there are expectations of further business opportunities and growth prospects in Africa. Naidoo underscored the significance of stability, both politically and economically, in attracting investors and fostering long-term sustainable investments. Access to capital and diverse funding sources are critical enablers for realizing targeted growth plans and leveraging the vast opportunities across Africa. The evolving dynamics of the BRICS plus framework highlight Africa's growing relevance to the UAE and the broader network of emerging economies. The dialogue between Naidoo and CNBC Africa shed light on the evolving landscape of trade and investments between the Middle East and Africa, with ABSA Bank playing a pivotal role in facilitating cross-border transactions and enhancing economic synergies between the two regions.