Across Africa, several economies are recording notable upward trends, with the West African country of Senegal steadily distinguishing itself as one of the continent’s most promising success stories.
- Senegal is emerging as a key investment hub in Africa, promoting economic potential at the Fii Senegal forum.
- The country’s Vision Senegal 2025 focuses on sustainable development and enhancing living standards through strategic plans.
- Senegal’s political stability and democratic history make it an attractive destination for foreign investment.
- Key sectors offering investment opportunities include oil and gas, natural resources, agriculture, and human capital development.
This coastal country, west of the Prime Meridian, has now become one of the continent’s budding investment hubs, fueled by numerous components within its human and natural resources.
This fact was highlighted at the economic investment forum, Fii Senegal, where several investors came to explore the market-based potential Senegal offers.
The program, executed in collaboration with Saudi Arabia and themed “Connecting Opportunities, Building the Future,” reiterated a presidential initiative simply referred to as Vision Senegal 2025.
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This agenda is based on a Strategic Master Plan 2024-2035 and a Five-Year Plan 2025-2029, which present genuine potential for investment and public-private collaborations across different industries.
Its paramount objective is to foster an environment conducive to enhancing the standard of living of residents, increasing life expectancy, mitigating poverty, and stimulating overall economic growth, thus highlighting Senegal’s intention to draw in foreign investment.
The intentions were made clear at Fii Senegal, with the president of the country, Bassirou Diomaye Diakhar Faye, urging investors to come and ‘seize the opportunities.’
“We are ready to welcome you and facilitate your establishment and success. Come seize opportunities in high-potential strategic sectors and forge fruitful, mutually beneficial partnerships,” he said in his opening speech.
However, Senegal’s goal to draw in investors and the country’s ability to do so are two distinct realities.
While many countries aspire to attract substantial foreign direct investment into their economies, they are often hindered by their inability to provide investors with the requisite confidence and security to commit significant capital.
Senegal, fortunately, does not have this problem, as highlighted by key stakeholders at the forum.
Why Senegal is one of Africa’s top investment destinations
Over the last decade and a half, Senegal has quietly established itself as one of West Africa’s most promising investment locations.
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The country’s combination of political stability, rising infrastructure, and a vibrant youthful population has piqued the interest of global financial institutions and investors.
Experts and officials, some of whom Business Insider Africa (BIA) spoke to at Fii Senegal, agree that the country’s success is due to long-term planning and a commitment to sustainable development.
“In terms of investment, we are close to $100 billion over the last 15 years in Senegal. This has generated several value growth because of their infrastructure,” Meissa Tall, Partner Head of Advisory Africa at KPMG, said in an exclusive with BIA.
Mr. Tall then went on to note that confidence in Senegal’s economic potential stems from the country’s ability to stand above its peers in terms of performance.
“What we have seen is that compared to other countries, Senegal will do better, in terms of creation, creation of value, creation of jobs, and creation of local champions,” he stated.
Senegal’s ability to engender investor confidence is also largely due to the West African country’s institutional and political stability.
Investors continue to latch onto a democracy that has been in place for more than 60 years, unblemished by insurgencies which has been synonymous with West African politics.
“One of the key elements of Senegal is the stability and the existence of this democracy; this is fantastic, because for investment you need visibility, and you need predictability, and in Senegal, since the last 60 years, you have this democracy ongoing,” Mr. Tall added.
This point was also highlighted by a World Bank executive, who revealed that the global lender is always ready to support Senegal with many of its developmental projects in full confidence.
During an interview with BIA, Mazen Bouri, Lead Financial Sector Specialist at the World Bank, highlighted the institutions’ mutual understanding with the Senegalese government and its efforts in sharing Senegal’s economic strategy.
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“We have a strong dialogue with the government… we are fortunate that in Senegal there is a very strong administration, and a very strong entrepreneurship spirit that gives us a good foundation to do so, so we have good confidence,” the World Bank official stated.
Beyond its resources and infrastructure, Senegal’s greatest asset is its people.
The nation’s human capital has emerged as a key component of its growth objectives, thanks to a young, educated, and technologically savvy populace.
“One of our greatest assets remains our human capital, with more than half of the population under the age of 25,” the president of the country stated during his opening speech at the forum.
We have a young, educated, connected, and creative population, a rich source of talent for businesses and investors. However, it is clear that to fully harness these opportunities, a clear vision with defined investment goals and priorities is essential,” he added.
Still on the subject of resources, Senegal boasts a rich landscape filled with vast and unique natural treasures, coupled with an enviable coastline, which has the potential to be a gateway into the larger West African market.
“If you look at the agriculture value chains that Senegal has, there are some key products that are unique to Senegal that could be branded,” Mazen Bouri stated, referencing maize and the iconic Baobab tree, typically referred to as the ‘Tree of Life,’ used to produce a wide range of nutritious and commercial products.
But perhaps the resource that had investors the most excited was the much sought-after oil and gas.
Within just a year, Senegal has achieved a remarkable increase in oil production, going from zero to 100,000 barrels per day.
This significant indicator was emphasized by investors at the event as a strong incentive for future investment in the nation.
“Senegal has right now, oil and gas right now, which is strategic in terms of resources, and they have a lot of know-how in this sector,” the KPMG executive revealed.
This sector not only promises production growth but also presents significant fiscal potential in refining.
Mamadou Abib DIOP, CEO Société Africaine de Raffinage (SAR), informed Business Insider Africa that the current focus is on enabling Senegal to refine all its oil, thereby addressing a pre-existing deficit in the country’s downstream sector.
He noted that the country’s refining capacity stands at approximately 35%, hence its plans to build a second refinery.
“First time being in the oil and gas sector, the idea is to reach the national demand. We currently have 3 million tonnes per year as demand, and we can only cover 50%.”
Senegal’s attempt to increase refining capacity represents more than just an energy improvement; it is a step toward true independence and long-term prosperity.
The country is positioning itself to meet its own demands while also transforming its natural resources into genuine, long-term growth.
As the dust settles on the Fii Senegal Forum, one thing is clear: Senegal has caught the attention of the world.
The country’s combination of political stability, expanding industrial capacity, and an ambitious youth demographic makes it a model for success on the continent.
