Today, I was honoured to co-chair the New Africa Summit at the Future Investment Initiative (FII) 2024 in Riyadh, Saudi Arabia.
For the first time, FII featured a pre-Summit event dedicated to Africa, bringing together influential global investors and business leaders. The New Africa Summit focused on building bridges across geographies, highlighting Africa’s unique investment opportunities, and fostering vital cross-border collaboration.
The energy and vision driving conversations around Africa’s role in the global economy were deeply inspiring.
In a fireside chat with Eleni Giokos of CNN, we explored a topic close to my heart: “The Landscape of African Entrepreneurship: How Can Vision Transform to Venture?” We discussed Africa’s future — a future that depends on investing in our youth. With over 60% of our population under 30 and a median age of just 19, equipping our young people with the resources and opportunities they need to succeed is not just vital — it is personal to me.
Africa is on the cusp of extraordinary transformation. Our young, driven population is eager to innovate and create, yet many face formidable challenges — limited access to capital, infrastructure gaps, and market barriers. In our conversation, I emphasised that real change happens when we empower African entrepreneurs with the resources and guidance they need to thrive. Through platforms like the Tony Elumelu Foundation, we are providing this support, equipping thousands with the means to transform ideas into businesses that uplift families, communities, and economies. Our philosophy of Africapitalism, provides many of the answers: a confident private sector, a supportive public sector – a shared vision that business needs to do good, as doing well.
My message here at FII is clear: Africa is open for business, and our entrepreneurs are ready to compete on the global stage. This is more than a moment; it is a movement, one that requires both investment and belief in Africa’s potential.
As I continue discussions here in Saudi Arabia, I am optimistic that by fostering partnerships, we can unlock opportunities that will push African entrepreneurship forward, creating a ripple effect of prosperity across the continent and beyond.
You can read the full transcript of our conversation here:
Eleni Giokos: Tony, just to introduce you a bit, you are the Chairman of United Bank for Africa and the Founder and Chairman of Heirs Holdings, with investments across financial services, hospitality, power, energy, technology, and healthcare. I’m waiting for food and agriculture to be added to that list. Tony’s incredible foundation has trained 1.5 million young Africans via a digital platform and invested $100 million in 20,000 entrepreneurs, creating 400,000 jobs. That is truly impressive and deserves a round of applause. You are considered a pioneer of philanthropy in Africa. Why did you decide to focus on young Africans who may only have an idea but lack a clear plan and resources to bring it to life?
Tony Elumelu: I believe I am a product of luck; I am here not because I was the smartest, but because I had certain opportunities. In Africa, over 60% of the population is under 30, with a median age of 19. I feel compelled to invest in young Africans, giving them the kind of support I was lucky to receive. My wife and I started the Tony Elumelu Foundation to create economic opportunities and reduce poverty. We believe that joblessness is a betrayal of a generation, and that the private sector must play a role in supporting youth, alongside government.
Eleni Giokos: You say luck, but I know you—luck for you is hard work and being prepared. Your “luck” is about giving them opportunities, like non-refundable capital, but they also have to work hard, as you have.
Tony Elumelu: The “luck” is there to kickstart, but it is up to them to make the most of it.
Eleni Giokos: Speaking of entrepreneurs, the World Bank estimates that around 60% of African startups fail within the first three years. You have funded thousands of entrepreneurs—what are your success and failure rates?
Tony Elumelu: The failure rate is high, due to challenges like limited electricity and infrastructure. But we have seen many successes among the 20,000 entrepreneurs we have funded, which encourages us to keep going. As we work to create a more supportive environment, we see success stories emerging, especially among young women, who are excelling in areas like tech and agriculture. We cannot be deterred by failure; we have to aim to succeed in spite of it.
Eleni Giokos: You mention women entrepreneurs often, and it is true—they are crucial to Africa’s informal economy. But let us talk about home: you have five daughters and two sons, right?
Tony Elumelu: Yes, we are outnumbered at home! But my experiences with my mom and sisters showed me how impactful investing in women can be. Many of our companies are led by women—not for balance, but because they have earned it. In our foundation, we started with 30% female participation, but now it’s 50-50. I believe the future of Africa is in the hands of its youth and women.
Eleni Giokos: Thank you for sharing that. Turning to policy, we know that 60% of Africans have no or inconsistent electricity, creating huge challenges for entrepreneurs. What has your experience been with bureaucracy, and is it becoming a more supportive environment?
Tony Elumelu: We operate in 24 African countries, and each has unique policy challenges. There has been some progress, but inconsistency is still a big issue. Governments are becoming more aware of the need for a better business environment. The young entrepreneurs we support would succeed more with a stronger infrastructure. I advocate for improvements each time I meet with African leaders: job creation needs reliable electricity, less complex taxation, and more consistent policies.
Eleni Giokos: Consistency is indeed crucial. And for those here today, which sector do you think holds the most promise?
Tony Elumelu: I always say, if you are looking for opportunity, Africa is unmatched in potential returns. Despite challenges, entrepreneurs are here to navigate them. Africa is open for business, and I believe in its future.
Eleni Giokos: Multinationals often come to Africa seeking double-digit returns, but some leave when they face currency or operational issues. Why do you think some multinationals fail, and is it time for Africans to shape their own narrative through Afrocapitalism?
Tony Elumelu: Africapitalism is about creating an enabling environment for both local and foreign investors. When the conditions are right, investors—whether multinational or domestic—respond rationally. Some multinationals are expanding across Africa and acquiring more businesses, while others, for various reasons, are divesting. Africans, however, are not standing by idly. Africapitalism believes that the African private sector should stand up and be counted. We believe that in the 21st century, investments should be directed at critical sectors that uplift African society sustainably, from agriculture to energy sufficiency. African businesses are increasingly stepping up to meet these demands.
Partnerships between Africans and foreign investors are also vital. Foreign investors may not always fully understand the African market. In the past, agents bridged this gap, but now, co-investors are emerging. For example, the African Finance Corporation actively invests across the continent, supporting both African and foreign investors. This has been crucial for local investors who face challenges accessing capital. As policy consistency improves, I am confident African entrepreneurs and the private sector will do even more.
Perceptions of risk in Africa, long a major hurdle, are also shifting. Investing involves both risk and reward, and the returns on the continent are significant. While currency fluctuations remain a challenge, there are ways to hedge against these issues.
Eleni Giokos: With just a few seconds left, I want to ask an important question on geopolitics. We often say, “When the U.S. sneezes, the world catches a cold,” and that extends to Africa, where foreign policies from major economies have significant impact. So, simply put: Kamala Harris or Donald Trump—who would be better for Africa? Who should we hope to see leading?
Tony Elumelu: I know both individuals and can say they each have strengths and weaknesses. What truly matters to me—and to Africa—is having a leader who will implement policies that genuinely support economic transformation on the continent. So, my answer is that I support whichever leader brings forward policies that will most positively drive Africa’s economy.
This is a crucial moment for Africa, a time when policies that support Africa’s economic advancement are urgently needed. We are moving into a period of African renaissance, a term coined by Thabo Mbeki in 1997, while I speak of Africapitalism—Africans driving transformative growth both within Africa and globally. This renaissance is embodied in the achievements of Africans worldwide, from owning international airports to excelling in various sectors. That is the spirit we need: Africa’s private sector not only thriving at home but making a mark worldwide, showcasing the very best of what Africa offers.
Africa is indeed a land of opportunities, and now we are seeing these opportunities translate into tangible outcomes. In our group, we witness this progress and want to see even more investments and partnerships across the continent.
It is time for Africa to build on this momentum—it is time for investment, time for partnerships.
Watch the full fireside chat here
