During the 2008 World Economic Forum in Davos, Switzerland, PricewaterhouseCoopers (PwC) released its 11th Annual Global CEO Survey, which revealed a split in the confidence levels of company leaders worldwide. In the developed economies of the US, Japan and Western Europe, the CEOs are concerned that economic decline could result in recession, yet in the newly emerged economies, confidence remains strong. Additionally, the Organisation for Economic Co-operation and Development (OECD) forecast GDP growth for Africa to hit 6,7%, fuelled by demand from China and India.

"Africa is the world's second largest continent and is richly endowed with human and material resources. Interestingly, Africa has more English-language speakers than the United Kingdom, more French-speaking people than France and more Portuguese-speaking people than Portugal. We have boundless opportunities available on the continent," comments Stanley Subramoney, Deputy CEO, PricewaterhouseCoopers Southern Africa and Director of the NEPAD Business Foundation. He further adds that prospects in Africa remain positive because of high commodity prices and insatiable demand from China and India. The risk assessment for the continent has dropped, with rates of return significantly higher than in developed countries.

Chinese investment in Africa is transforming the continent's political, economic and social landscape. It is evident that the impact of the developments envisaged in the economic and trade cooperation zones and the interventions projected within the development corridors could be dramatically enhanced and amplified through greater alignment between China and the NEPAD Business Foundation (NBF). This could be replicated in many other areas and the NBF is more than willing to facilitate and enhance business to business relations between Africa and China. The NBF is aware that China has identified at least five areas to establish special economic and trade cooperation zones. According to information in our possession, these development zones are located in Egypt, Mauritius, Nigeria, Zambia and Tanzania.

"For example, in 2007 foreign direct investment (FDI) flows into Africa amounted to $9 billion, which far exceeds the investment by the World Bank into Africa. China's long-term strategy for Africa includes offering non-commercial loans in exchange for long-term strategic and economic interests, promises of doubling development assistance by 2009, increasing two-way trade, cancelling debt and training African professionals," he says. "In a recent interview, President Wade of Senegal commented that he had achieved more in his hour-long meeting with China's President Hu Jintao, than the entire meeting of leaders at the G8 Summit. Such is the speed of the Chinese decision-making in Africa."

Africa now needs to differentiate herself as she is currently on the international agenda, experiencing some of the best periods of economic growth. Progress is also being made in the areas of peace, security and governance.

"Angola is now one of the fastest-growing economies in the world and supplies significant quantities of oil to China. The world's economic axis is shifting and to compete in this league, Africa needs to scale up its efforts to be a global player. This can be achieved through regional integration, an imperative means of overcoming the limitations of the continent's many small and fragmented economies," Surbramoney comments.

But there are some barriers to Africa's growth and development. These include over-reliance on commodities, ageing or non-existent infrastructure and skills shortage. Strategic imperatives for Africa include export-oriented investment, primarily in non-traditional production, and a shift in focus to value-added rather than stand-alone, vertically integrated operations.

"We also need to enhance the quality of human capital, empower small and micro business and harness the savings of ordinary Africans. The next decade could prove to be an extraordinary period for Africa; a period in which African countries work together to produce an environment capable of supporting wealth creation and social cohesion across the continent," he asserts. "The world is connected as it has never been before, and the power of collaboration is beginning to emerge. Africa's time has come."

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