Africa’s economic narrative has often been told through the lens of struggle in terms of poverty and political instability. Yet, this outdated perception no longer reflects the reality on the ground. Across the continent, a new generation of bold entrepreneurs, investors, and policymakers is reshaping Africa’s future. The rise of fintech innovations, intra-African trade deals, resource sharing, and a growing middle class signals that Africa is building its own economic destiny.

During my recent visit to my avocado processing facility, I met a group of ambitious young entrepreneurs eager to break into the global market. As we discussed their aspirations, I told them, “Africa’s business future will be shaped by those who dare to build. Take your time to build so that the business will thrive” From Nairobi to Lagos, from Accra to Kigali, the story of Africa is shifting from one of limitations to one of limitless possibilities. But to sustain this momentum, we must address structural challenges, embrace innovation, and create an environment where businesses can thrive.

The African Trade that Unlocks the Continent’s Potential

Africa’s economic strength lies in its ability to trade with itself. Yet, despite having the largest free trade area in the world, the African Continental Free Trade Area (AfCFTA) - fintra-African trade remains shockingly low. Countries like Kenya, Ghana, and Nigeria continue to export more to other continents than to their African neighbors. As a business man and the CEO of Sunrise Virtual School, I would also like to reach out to most African states and to educate to their learners for the 21st century.

Recently, Kenya’s exports to Africa fell for the first time in six years, signaling an urgent need for policy reforms and infrastructure improvements. The lack of efficient transport networks, complex border regulations, and unpredictable tax policies has made it easier for African businesses to trade with other continents more than with fellow African nations. If Africa is to thrive, then our businesses must be able to move products across borders seamlessly.

Take the case of Uganda’s traders, who are currently fearing backdated tax penalties that threaten their livelihoods. If trade agreements can be undermined by inconsistent taxation policies, then Africa’s economic unity will remain a dream rather than a reality.

Beyond policy, the private sector must step up. African entrepreneurs must see the continent as their primary market, not just an afterthought. The rise of e-commerce, digital payments, and cross-border trade platforms is already breaking barriers, but governments must do their part by ensuring predictable tax regimes, simplified export processes, and modern infrastructure.

Africa’s Innovation Booms in Fintech

Despite these challenges, one industry has defied the odds, financial technology (fintech). Africa has become a global leader in digital payments and fintech startups, proving that innovation thrives where there is need. Kenya’s mobile money M-Pesa has revolutionized how money moves across the continent, providing banking services to millions who were once excluded from the financial system. Today, cities like Nairobi, Lagos, and Cape Town are among the top destinations for fintech investment in the world.

Yet, even as fintech booms, many African startups still struggle to secure funding. Venture capital is scarce, and local banks continue to favor established businesses over startups. This is where Africapitalism comes in. Africapitalism is a philosophy championed by business leaders like Tony Elumelu, who recently announced a $15 million grant for 3,000 African entrepreneurs. This kind of investment for mentorship, networking, and opportunities to scale is exactly what Africa needs.

As I travel across Africa and the world, I meet entrepreneurs with brilliant ideas, but little support. Governments must step in to create tax incentives for investors for them to reach out to these brilliant minds. They need to also simplify business registration and to provide grants for startups so as to enroot innovation from Africa to the world. The world has already noticed Africa’s potential. Now it is time Africa starts betting on itself.

The Hidden Threat is Political Instability and Economic Growth

For all the excitement around Africa’s business potential, one issue continues to haunt us. This is political instability. War and unrest remain a major barrier to investment. The closure of Germany’s embassy in South Sudan due to civil conflict serves as a reminder that businesses cannot thrive in chaos.

Take Burkina Faso, which has made impressive industrial moves, including launching a new cement plant with Chinese support. But political uncertainty following its withdrawal from ECOWAS casts a shadow over these gains. Investors are watching carefully, hesitant to commit resources in unpredictable environments.

South Africa, once a magnet for businesses, has seen recently 35 companies relocate to safer markets. Ivory Coast, on the other hand, has emerged as one of Africa’s best-kept success stories by maintaining stability and encouraging investment. If African governments want to retain and attract investors, then political stability must be a top priority.

Looking Ahead

Africa is not short of talent, ideas, or opportunities. What we lack is a business environment that allows entrepreneurs to flourish. Countries like Rwanda have shown that with the right policies, even a small nation can become a thriving economic hub. Kenya, with its vibrant startup ecosystem, must ensure that it remains attractive to investors by cutting red tape, reducing the tax burden, reducing corruption, and supporting innovation.

As I told my young mentees, "Business in Africa is for those who see the long game. The fainthearted will always give excuses." Those who invest, innovate, persist and adapt will define Africa’s next chapter.

About Ben Kairu

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