Amid reports of stagnating growth in the world’s key emerging markets, global online property listings giant Lamudi, founded by the African Internet Holding, has reasserted the importance of selected emerging markets as the most promising locations for business investment especially in e-commerce.
Gross domestic product (GDP) growth expectations for the BRIC countries (Brazil, Russia, India, China) have been downgraded for this year and have sparked much analysis on whether the emerging markets remain a good option for investment. In the last month, the Financial Times has asserted that emerging markets are ‘under-performing’ and Time magazine has published opinion pieces suggesting new locations for the focus of investment.
However, Lamudi has reasserted the importance of selected emerging markets as the most promising locations in the world for business investment.
Managing Director of Lamudi West and Central Africa, Allie Morse commented: “Most of the analysis that downplays the significance of emerging markets makes the mistake of lumping all of the emerging markets into one group. Africa’s economic outlook for the next following years looks promising; according to Africa Economic Outlook its position confirms its strong resilience towards internal and external shocks to the market and its well-played role as a growth extremity. The set to be booming economy has been projected to accelerate its growth by 5.3% in 2014.
Although the BRIC markets may be forecasting lower GDP growth this year than expected; this is clearly not the case for other emerging markets such as Africa which grew by 4.8% last year.”
This week, French bank Société Générale recommended investors to rebuild exposure to emerging market securities. This was followed by the release of research from the London Business School which asserted that scaremongering on the state of emerging markets had been exaggerated.
Allie continued: “Whilst no market is without risks and challenges, we firmly believe that investment inan emerging market such as Nigeria is here to stay. As a company, Lamudi will continue to remain as one of most promising locations for investment.”