Here are the 10 problems in Africa that generate wealth for potential investors.
Wealth creation revolves around problem-solving. The better and more strategic you solve problems, the greater your chances of creating wealth.
Now there are tons of problems waiting to be solved and Africa is home to many of such problems. You don’t have to look elsewhere for African business opportunities if only you look inwards at your community, city, state, or country.
10 AFRICAN PROBLEMS SUITABLE FOR WEALTH CREATION
This article will discuss 10 problems in Africa that can help you start a business. In reality, there are many more problems around to solve.
However, this number of problems will be sufficient enough to spark the desire in you to create wealth.
Energy
African nations have been faced with an uphill task in generating sufficient electricity. This is due to several factors of which corruption ranks top. Electricity generation is capital intensive. Currently, several alternatives have been explored to include hydro-electric power generation, thermal generation, and solar power.
Despite these alternatives, sufficient electricity generation still leaves much to be desired. The above-mentioned methods are under-utilized and not efficiently run. There are other alternatives such as wind power, and nuclear power among others. Being able to provide efficient energy solutions will create huge wealth creation opportunities.
It is also important to state that currently, only an average of 20% of the continent’s population has access to electricity. Energy drives economic growth. So, it’s little wonder why the continent lags in economic and industrial growth. This is a major problem that can fast generate enormous wealth if the right solutions are found.
Hunger
This is a reality for lots of people on the African continent. Causes for these include an ineffective agricultural system. Most farmers use crude means to grow crops. These farmers cultivate at a subsistence level too. The lack of proper mechanization and the introduction of technology has limited production capacity.
What more, drought has compounded this problem. However, there’s steady improvement in the development of drought-resistant crop varieties. Being able to tap into the vast agricultural potentials in Africa can easily generate wealth. There’s always a market for agricultural products. Favorable policies and their effective implementation are also vital.
Prevalence of Diseases
When compared to other continents, Africa ranks high in the prevalence of diseases. This has caused a huge loss to lives. Governments across the continent have tried to find solutions to these problems but seem to fall short when it comes to getting it right. This remains a major problem waiting to be solved.
There’s a lot of money to be made for anyone who’s able to find solutions. You don’t need to figure out how to solve the problem in one day. Starting from somewhere is all that is needed. There are lots of areas to consider. The pharmaceutical industry is a huge investment area to consider. Currently, there are insufficient drugs to go round.
While looking at providing a cure for diseases, it’s important to also consider addressing the causal factors. These range from adverse sanitary conditions to polluted water bodies among others. All these are wealth-generating opportunities you can exploit to better a lot of Africans.
Unskilled Labor
Africa suffers from a huge vacuum of unskilled labor. There’s a lack of real and relevant skills necessary for the growth of an economy. This problem has contributed significantly to slow industrial growth. There’s no denying the fact that industrialization is the key to economic growth. However, when a significant section of the continent’s population is unskilled, little progress is made in that regard.
This problem can be turned into a goldmine when the right strategies are put in place. By providing the know-how, the economic conditions are improved while generating substantial wealth in the process. When it comes to unskilled labor, there are lots of areas to look into. You only need to find those opportunities you’re skilled in and make them available.
Import Dependence
This is a problem facing most African nations. Although imports are necessary for any economy to thrive, there should always be a balance. In other words, a country should either export more than it imports or has a balance between the two. Most of the finished goods imported from outside the continent adversely affect the continent’s self-sufficiency.
Local production is the key. In this case, local production covers a wide range of areas. These include textile production, agricultural processing factories, production lines for local machinery, and automobiles among a long list of others. This saves the continent billions of dollars in exports.
You only need to look into areas you feel you are competent in. There’s also an opportunity to partner with those having the know-how. Being able to encourage local production is a key wealth generating strategy.
Education
The quality of education in Africa is a problem. There’s a huge gap in the provision of quality and relevant knowledge. The major problem lies in the public education system. The lack of investments in education has contributed to crumbling the system.
Education provides an opportunity for immense wealth creation when done right. The secret lies in tackling the problem. Being able to provide far-reaching solutions will go a long way in eliminating the problem while creating enormous wealth creation opportunities.
Waste
Waste management is a huge problem across Africa. This is more common in major cities across the continent where a greater part of the population resides. Being able to provide proper management for all sorts of wastes will significantly impact your net-worth.
Plastic wastes are a problem. You can begin by finding ways to recycle these wastes. To do this, you’ll need to figure out how to effectively collect them. This is a multidimensional approach that will require informing people about the dangers of improper plastic waste disposal.
Infrastructure
Africa has a huge infrastructure deficit. While most existing infrastructure requires maintenance, there’s also the need to provide new ones. Such infrastructure includes bridges, roads, public spaces, transport systems, etc. These are key investment areas you can exploit. There are ways to enter into partnerships with governments to provide new and maintain existing infrastructure.
Transport System
The quality of the transport system in Africa leaves much to be desired. These systems are either outdated or even nonexistent. The mass transit system will need proper planning and the injection of cash to become increasingly viable.
Although transport infrastructure is required across the continent, the cities are most in need of these due to their dense population.
Affordable Housing
Affordable housing in Africa is either inadequate or unavailable. This is a vital requirement that needs to be provided. Governments alone cannot do this. They need the input of the private sector. This is an opportunity to invest in the provision of shelter for a growing population. The opportunity for wealth creation through this is enormous.
These are 10 problems in Africa that can generate wealth fast. You only need to be strategic about it. First, identify the problems and find out where you can come in. It doesn’t matter where you live on the continent. These problems apply to all countries.