Africa’s rich set to get wealthier from technology boost

Increased use of technology to improve the efficiency of mature African businesses is expected to boost the number of high net worth individuals, as the second generation of family-owned businesses takes over management from founders.

The first generation emerged following the oil boom and liberalization of economies, with most investing in heavy industries, trading and commercial farming, according to Faizal Bhana, the director for the Middle East, Africa and India at state-funded Jersey Finance.

They became entrepreneurs in their twenties or in teenage years and are now in their sixties and seventies, compared with their successors who are at least in their thirties, Bhana said in an interview.

“There’ll be a boom of ultra high net worth individuals in Africa over the next five to 10 years,” he said. “They’re still farming, they’re still doing infrastructure projects, but increasingly using technology.”

Increased use of technology to improve the efficiency of mature African businesses is expected to boost the number of high net worth individuals, as the second generation of family-owned businesses takes over management from founders.

The first generation emerged following the oil boom and liberalisation of economies, with most investing in heavy industries, trading and commercial farming, according to Faizal Bhana, the director for the Middle East, Africa and India at state-funded Jersey Finance.

They became entrepreneurs in their twenties or in teenage years and are now in their sixties and seventies, compared with their successors who are at least in their thirties, Bhana said in an interview.

“There’ll be a boom of ultra high net worth individuals in Africa over the next five to 10 years,” he said. “They’re still farming, they’re still doing infrastructure projects, but increasingly using technology.”  – bloomberg