• Firm foundation

    Firm foundation

    Estimates suggest there are more than 10 000 Chinese-owned firms operating in Africa today – 90% of which are privately owned.

    A report recently released by consultancy firm McKinsey, covering eight African countries, shows that nearly a third of these businesses are involved in manufacturing, a quarter in services and a fifth in trade, construction and real estate.

    It also outlined projections for future growth, including revenues of Chinese firms growing to around US$250 billion by 2025 (up from US$180 billion today) – with manufacturing, resources and infrastructure being key drivers.

    The second projection includes firms expanding into other sectors such as agriculture, banking, telecoms and transport, pushing up revenues to US$440 billion by 2025.

    According to an African Business report, two-thirds of the Chinese businesses present on the continent offer skills training to its staff, suggesting a long-term interest in Africa.

    25 July 2017
    Image: Gallo/Getty Images