Turning East Africa’s Growth Into Bankable Assets
Fast GDP gains are just the start as investors target deeper capital markets and regional value chains. The post Turning East Africa’s Growth Into Bankable Assets appeared first on Global Finance Magazine .
This article, featured in the September 2026 edition of Global Finance Magazine, examines how East Africa is capitalizing on its rapid growth to create bankable assets. The African Development Bank's 2026 economic outlook report highlights both the region's strengths—substantial infrastructure, industrial, and climate-finance needs—as well as its weaknesses, such as shallow capital markets, high financing costs, and fragmented financial systems.
Despite strong growth (6.6% in 2025, up from 4.3% in 2024) and significant inflows of foreign direct investment ($12.6 billion in 2024) and remittances ($12.9 billion), experts argue that the region needs to bridge the gaps between growth and sustainable business development.
Bernard Laurendeau, managing partner at advisory firm Laurendeau & Associates, describes East Africa as a "glass half-full and half-empty" story, praising the region's strengths in infrastructure, logistics, and a tech-savvy population while cautioning investors to look beyond GDP and banking numbers. He emphasizes the importance of enabling local businesses to start, scale, and exit, and improving access to credit and foreign exchange.
Ken Shibusawa, founder and CEO of &Capital, is focusing on venture capital opportunities in fintech, healthcare, agriculture, renewables, and education. While Kenya boasts one of the strongest startup ecosystems in East Africa, Shibusawa notes that Tanzania, Uganda, and other neighboring countries may offer less-developed but potentially significant opportunities. He stresses that capital alone is not enough; investors need trusted local partners to navigate issues of governance, transparency, and rule of law.
Kohei Muto, founding partner and CEO of Double Feather Partners, highlights the need for infrastructure that connects capital, technology, and entrepreneurs. His firm's model aims to help early-stage African ventures prepare for institutional capital, enabling global corporations to experiment with African startups at lower risk through accelerator programs.
Muto believes that manufacturing, industrial technology, sensors, energy, and mobility will be more crucial for Africa's next growth phase than fintech alone. He also notes that Japanese and other international firms can contribute technology, capital, and operational expertise through co-innovation with African businesses.
Kenneth Asiimwe, CEO of the Uganda Association of Artisanal and Small-Scale Miners (UGAASM), maintains that the investment case in East Africa largely revolves around the resource economy. Uganda's gold industry exemplifies the shift from exporting raw materials to domestic processing and value addition. However, successful investment requires understanding local producers, incentives, and the legal framework.
The article concludes that East Africa's fragmented nature, financing gaps, and infrastructure deficits are opportunities for capital, technology, and institutional innovation, suggesting that the region's future success will be measured not just by GDP growth but by the creation of bankable companies, deeper capital markets, regional supply chains, and lasting returns on investment.
Written by urgent.news from Global Finance's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
