Corporate Finance - Africa

Africa

The revenue in the Corporate Finance market is projected to reach US$7.19bn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2029) of 1.75% resulting in a projected total amount of US$7.84bn by 2029.
The average transaction value in the Corporate Finance market amounts to US$101.30m in 2024.
From a global comparison perspective, it is shown that the highest revenue is reached in the United States (US$130.10bn in 2024).

Market

Region

Region comparison

Currency

Analyst Opinion

The Corporate Finance market in Africa is experiencing significant growth and development driven by various factors.

Customer preferences: A key trend in the Corporate Finance market in Africa is the increasing demand for innovative financial solutions tailored to the specific needs of businesses across the continent. Customers are seeking more flexible and efficient financial services to support their growth and expansion strategies.

Trends in the market: In Nigeria, for example, there is a growing trend towards mergers and acquisitions as companies look to consolidate their market presence and expand into new sectors. This trend is fueled by the need for capital optimization and strategic partnerships to navigate the competitive business landscape in the country.

Local special circumstances: One of the unique aspects of the Corporate Finance market in South Africa is the emphasis on sustainable finance and responsible investing. With a growing awareness of environmental, social, and governance (ESG) factors, companies in South Africa are increasingly incorporating sustainability principles into their financial strategies.

Underlying macroeconomic factors: The economic diversification efforts in countries like Kenya are driving the Corporate Finance market towards supporting emerging industries such as technology and renewable energy. As these sectors continue to grow, there is a need for specialized financial services to facilitate investments and capital raising activities.Overall, the Corporate Finance market in Africa is evolving in response to changing customer preferences, local special circumstances, and underlying macroeconomic factors. This dynamic environment presents opportunities for financial institutions and businesses to innovate and collaborate in driving economic growth across the continent.

Methodology

Data coverage:

Figures are based on the revenue generated by the Investment Banking market, as well as the transaction value, the number of transactions, and the average transactions size of the Mergers and Acquisitions (M&As) and Initial Public Offerings (IPOs) markets.

Modeling approach / Market size:

Market sizes are determined by a bottom-up approach and are based on a specific rationale for each market. As a basis for evaluating markets, we use market research and analysis, as well as data from annual financial reports. Furthermore, we use relevant key market indicators and data from country-specific associations and national data bureaus, such as GDP, wealth per capita, and total investment (% of GDP). This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. In this market, we use the HOLT-damped Trend method to forecast future development. The main drivers are GDP per capita and total investment (% of GDP).

Additional Notes:

The market is updated twice per year in the event that market dynamics change.