The American Embassy on Friday urged American investors to nurture relations with South African business leaders in a bid to pump more investment into areas of infrastructure development, real estate, and private equity in the country.
This comes after the U.S. Mobilizing Institutional Investors to Develop Africa’s Infrastructure (MiDA) delegation met with South African asset managers, financial institutions, and African pension fund representatives to build further partnerships and find co-investment opportunities in Johannesburg and Cape Town earlier this month.
Partnering with the Association of Black Securities and Investment Professionals (ABSIP), the Batseta Council of Retirement Funds for South Africa (Batseta), and the Institute of Retirement Funds Africa (IRFA), MiDA hosted round-table discussions with leading African pension fund trustees and executives around best practices, and to promote financial inclusion in the financial services industry.
MiDA sought to facilitate relationships that will ideally result in more American investments in South Africa and the continent. Members of the MiDA program have already closed on new deals totaling close to U.S.$500 million in Africa.
MiDA, which was formed in 2016, is a partnership between the U.S. Agency for Development’s (USAID) Office of Private Capital and Microenterprise (PCM), Africa Private Capital Group of the Southern Africa Mission, and the National Association of Securities Professionals (NASP).
NASP is a U.S.-based membership organisation supporting women and minorities working in the securities and investment industry. The total assets under management of pension plans managed by NASP members is close to U.S.$3 trillion, or approximately 40 percent of all pension plans in the United States.
U.S. Embassy Chargé d’Affaires, Jessye Lapenn, said that there were great opportunities that existed for American investors in South Africa.
“This program is one of many win-win initiatives supported by the U.S. Mission to South Africa to promote the mutually beneficial outcomes of trade and investment between our two countries,” Lapenn said.
“Great economic opportunities exist for American and South African investors to create connections that will build infrastructure and contribute to prosperity for all.”
NASP chair, Donna Sims-Wilson, said that they have been telling American investors that they can achieve safe risk-adjusted returns by investing in African infrastructure.
“The most important work we do is educate U.S. institutional investors about the vast opportunities available in infrastructure. We are also very interested in how we can do business with our counterparts in the African financial community for our mutual benefit,” Sims-Wilson said.
– African News Agency (ANA),