Greenfield investment monitor fDi Markets shows that Nigeria received the highest level of inward investment in the African communications sector during 2013. The country accounted for 48.99% of all capital invested in the sector, with $3.97bn of foreign investment. Nigeria’s nearest rival was South Africa followed closely by Kenya with inward investment of $935m and $656m, respectively.
These figures are significantly higher than those reported in the previous year. In 2012, Nigeria's communications sector recorded inward investment totaling $1.59bn, accounting for 54.26% of the African total. South Africa and Kenya recorded investment of $197m and $83.9m, respectively.
In 2013, Nigeria’s share of inward capital expenditure was boosted significantly by a number of large-scale projects, most notably those tracked during January, February and July. During these three months, four separate Nigeria-focused projects accounted for 34.75% of all inward investment in the African communication sector.
In terms of jobs created, foreign investment within the communications sector in Africa has been responsible for the creation of more than 9000 new jobs during 2013 according to fDi Markets. The most jobs have been created in Kenya, South Africa and Ghana, which have seen, 1263, 1244 and 1162 new jobs created, respectively. Nigeria has lagged behind slightly with 815 new jobs created.
Out of these top four countries, Ghana is the only one to retain a level commensurate with 2012 job creation figures, with a difference of just 10%. Both South Africa and Kenya have recorded a marked increase of jobs created translating to a 120% and 278% increase compared to 2012, respectively. Nigeria has suffered a substantial decrease with 670 fewer jobs created.
During 2013, India was responsible for the greatest number of Africa-destined communications projects, accounting for 25.37% of tracked projects.