On adapting strategies to the current global environment What are your expectations for global investment flows in the next year, and what more can investment agencies do to accelerate economic recovery in the wake of the Covid-19 pandemic? ISMAIL ERSAHIN: It is clear that the pandemic had a significant impact on global investment flows, particularly in greenfield investments. Consequently,…
La pandémie a créé un besoin urgent de plus de capital patient en Afrique. Les gouvernements de tout le continent étant confrontés à des contraintes budgétaires tout en reconnaissant l'importance des investissements dans les infrastructures et les services essentiels, le PE et le VC offrent une voie intéressante pour le soutien financier. La pandémie a également accéléré la numérisation…
Financial technology (fintech) is advancing rapidly in emerging markets and Morocco is no exception: the country has embraced its efficiency and low costs as a way to bolster financial inclusion and catalyse innovation across various sectors, with both the government and private firms deploying fintech tools for payments. The development of a fully digital financial environment is an important objective…
On fuelling economic growth in Africa through insurance penetration In what ways did the Covid-19 pandemic impact the insurance sector in Africa? FARID CHEDID: Government measures to reduce the spread of Covid-19 such as national lockdowns have translated into slow economic growth, and in some cases recession. The performance of the insurance sector is traditionally closely linked to that of the…
The pandemic has created an urgent need for more patient capital in Africa. With governments across the continent facing budgetary constraints while recognising the importance of investment in essential infrastructure and services, private equity (PE) and venture capital (VC) offer an attractive avenue for financial support. Covid-19 has also accelerated digitalisation in key African markets, which…
The 2009-13 period was marked by a strong deterioration of the twin deficit in 2012, when the budget deficit and the current account deficit slowed by 6.8% and 9.5%, respectively. However, with the market starting to recover since 2014, interest rates have begun trending downwards, prompting investors – both globally and in Morocco – to turn to alternative assets for higher yields. Challenges In…
As businesses and governments worldwide seek to finance the vast investments required for projects to combat climate change and make the global economic model more environmentally sustainable, green bonds have become a popular capital market vehicle. The products are typically structured like a corporate or sovereign bond and asset-linked, but are used to raise money exclusively for sustainable…
In the years since Morocco introduced sharia-compliant financial services in early 2017, local players have grown significantly and cultivated a strong market with diversified offerings, including various banking products, Islamic bonds (sukuk) and Islamic insurance (takaful). “Islamic banks, takaful companies, the regulator and other stakeholders are working closely to complete the Islamic…
In recent years Morocco’s insurance sector has consolidated its strong position, with the growing middle class, tax advantages and fierce competition between bancassurers giving a notable dynamism to the life insurance segment. Morocco is the second-largest insurance market in Africa in terms of gross premium, and ranks highly for both insurance density and penetration. Furthermore, regulatory…
The use of sophisticated algorithms in wealth management is leading to improved efficiency and transparency in the financial services sector, benefitting both providers and clients. In particular, so-called robo-advisers are disrupting the industry and helping to boost financial inclusion. Primarily concentrated in developed markets such as the US and the UK, the technology is starting to make…