AFRICAN SPECIAL ECONOMIC ZONES POTENTIAL FOR BUSINESS EXPANSION

By Choong En Han & Mohd Khairi Idham

PUTRAJAYA, June 18 (Bernama) -- Special economic zones set up by African
countries offer immense potential for Malaysian firms to expand their business
into the continent, says a World Bank official.

"Africa is the new frontier for investors with a changing business landscape
coupled with the availability of land and resources," World Bank Senior Private
Sector Development Specialist Ganesh Rasagam said Saturday.

Major opportunities are in store for investors with governments realising
the importance of embarking on reforms to improve the business environment in
their respective countries, he said at the Malaysia-Africa Business Forum
held prior to the Ninth Langkawi International Dialogue 2011.

"Many have started to ease regulations to spur business start ups,
strengthen property rights and improve efficiency in commercial dispute
resolution (and) all these will attract investors' attention," he said.

Rasagam said Malaysian companies can also assume a role in Africa's growth
story especially in sectors like agribusiness, education, manufacturing,
tourism and health services.

Meanwhile, Quality Chemical Industries Ltd Chief Executive Officer Emmanuel
Katongole said Africa was on the verge of transforming into an emerging economy
on the back of better governance and rising spending power.

Katongole, who is from Uganda, said many African countries have managed to
overcome major post-independence problems when British colonialists left the
continent.

The lack of such strategies have led to political and economic instability
besides widening the gap between the rich and poor.

In describing the continent as the "Lion on the move", he said Africans now
have greater spending power due to the improved economy brought by rising trade
in natural resources.

-- BERNAMA