OVERVIEW OF THE
ROLE OF THE
PRIVATE SECTORIN WEST AFRICA
DEVELOPMENTAGENDA

1st ECOWAS – Japan
Business Forum.
28 – 29 October, 2015
Tokyo. Japan.

Kalilou Traore
Commissioner Industryand Private Sector
Promotion
ECOWAS Commission
Abuja. NIGERIA.
1PRESENTATION OUTLINESI.

OVERVIEW OF THE ECOWAS ECONOMY

II. INVESTMENT OPPORTUNITIES INECOWAS
III. ECOWAS BUSINESS CLIMATE
IV. EXPECTATIONS AND CONCLUSIONS2OVERVIEW OFECOWASECONOMY3OVERVIEW OF ECOWAS ECONOMYECOWAS 15 countries: BENIN, BURKINA FASO, CAPE VERDE,COTE D’IVOIRE, GAMBIA, GHANA, GUINEA, GUINEA BISSAU,LIBERIA, MALI, NIGER, NIGERIA, SENEGAL, SIERRA LEONE andTOGOCREATION: 1975
Population : 340 millions
Total Land Area : 5,112,903 km2
Official Languages : French, English, Portuguese
OBJECTIVE
MALI

CAPE VERDEPromote cooperation
Create a common market
Create a peace and security space

NIGER

SENEGALGAMBIA

BURKINAFASO

GUINEA-BISSAUGUINEABENIN

NIGERIA
SIERRACOTE
D’IVOIRE

LEONE

TOGOGHANALIBERIA

4OVERVIEW OF ECOWAS ECONOMYIn recent years, West African countries are among thefastest growing economies the world with
ECOWAS region is steadily emerging as the next growthpoleRegional GDP US$725 Billions in 2014, with 28.7%
generated by agriculture, 21.6% by the industrial sector,
and 49.7% by the service sector.
GDP Per Capita now average $ 1100
GDP growth: 6.3% in 2013 and 7% in 2014
FDI : $31 billion in 2012
5

OVERVIEW OF ECOWAS ECONOMY
Recent key factors of the growth:• Surge in the price of commodities in the world market
especially natural resources which the region has anabundance;• A growing middle class• Stability, democracy and governance reform resulting
in more accountability, transparency and rule of law• Improved
macroeconomicconditions
andmicroeconomic reforms to create a better businessclimate• high rate of return on investment ranging between
20%-35%.

6

MAIN ECOWAS
BUSINESSOPPORTUNITIES
7

MAIN BUSINESS OPPORTUNITIES

1. REGIONAL MARKET OPPORTUNITIES
2. EXPORT OPPORTUNITIES
3. MINES, OIL, GAS AND ENERGYOPPORTUNITIES
4. INFRATRUCTURES AND TRANSPORTS
8ECOWASIMPORTS OF
MANUFACTUREDPRODUCTS
Total Ecowas import value$70 billion 2011
• Fuel 24%• Food products 14% (rice,wheat, fish, milk, poultry,meat, food preparations)• Motor vehicles, tractors
11%• Mechanical appliances 11%• Electric machinery 8%• Plastics 4%• Iron 3%• Pharmaceutical 2%

ECOWAS EXPORTS
Total Ecowas export value$80 billion 2011
Oil 75%
Cocoa 5%
Precious stones 3%
CottonFruit
RubberWoodFish

Some Major Economic Products in ECOWAS Region
Major Economic products :Major agricultural crops: cocoa, palm oil, yams, cassava,sorghum, millet, corn, rice, groundnuts, cotton, timber, beans,sesame, cashew nuts, gum arabic, kola nut, maize, palm kernel,melon, plantain, rubber, soya beans, sugar cane, livestock hideand skin, etcMinerals Resources: Tin, Columbite, Iron-Ore, Coal, Limestone,Lead, Zinc, Gold and Crude oil and Natural Gas, phosphate, zircon,bauxite, tarube, Peat, Diamond, Rare earth.

Cocoa Beans

Soya beans

Sesame Seeds

Groundnuts

Shea Butter

Crude OilCotton

Limestone

CoalYam Tuber11INVESTMENT OPPORTUNITIES IN ECOWAS• Agriculture• Mining• Tourism• Construction and Real Estate• Consumer and Retail industries• Water and sanitation• Highereducation
andprofessional training• Digital economy• Energy• Transportation• Information,Communication
Technology• Natural Resources

12

INVESTMENT OPPORTUNITIES IN ECOWAS
POWER
 Most ECOWAS countries have some of the lowest levels of per capita energy consumption inthe world.
 Electricity consumption on the average in ECOWAS was 136 kWh in 2005 below the UN
specified minimum of 1000 kWh required for industrialization take-off and far below world
average of 2,400 kWh
 The West African Power Pool was established by ECOWAS in 2000 to establish a reliable power
grid for the region and a common market for electricity. Total investment required in theWAPP infrastructure is about $24 billion of which $ 18 billion is for power generation and the$6 billion for transmission.
 Investment opportunities exist in the following areas Power – Generation, Transmission & Distribution
Energy Source in ECOWASBuilding new power plants• HydroExpanding existing transmission lines• Thermal
Expansion of existing gas supply transportation facilities • Renewable
Building new networks
Manufacture of Wires, Cables, Transformers, and other auxiliary equipment
13ECOWASBUSINESSCLIMATEIMPROVEMENT14ECOWAS BUSINESSES CLIMATE IMPROVEMENT• REGIONAL SECURITY AND STABILITY COOPERATION• REGIONAL CUSTOM UNION AND FREE TRADE AREA
• REGIONAL COMMON INVESTMENT MARKET• REGIONAL PRIVATE SECTOR STRATEGY• REGIONAL SECTORAL STRATEGY (Monetary, Agri, Industry,Quality, Trade, Energy, Transports, Tourism etc)
• REGINONA SUPPORT TO BUSINESS CLIMATE IMPROVEMENT15ECOWAS BUSINESSES CLIMATE IMPROVEMENT• MANY SUCCES STORIES OF INTERNATIONAL AND REGIONAL FIRMS INTHE REGION• FOOD AND AGRO INDUSTRIES• NESTLE, OLAM, UNILEVER, CARGILL,• MECHANIC:• TOYOTA, NISSAN, HONDA, HYUNDAY, PEUGEOT etc<

• ICT PERATORS• MTN (South Africa), Etisalat (UAE), Airtel (India), Orange (France), Globacom(Nigeria).
16

EXPECTATIONSANDCONCLUSIONS
17

EXPECTATIONS OF COOPERATION AND
PARTNERSHIP• INSTITUTIONAL STRATEGIC COOPERATION• STRATEGIC COOPERATION PLAN WITH ECOWAS IN PRIORITY AREAS• SUPPORT TO ECOWAS INDUSTRY STRATEGY IN PRIORITY SECTORS ( Agroindustry, Pharmaceutical, Automotive and machinery, Constructionmaterials)• BUSINESS PARTENERSHIP AND INVESTMENT• Business cooperation framework between Ecowas and Japan Private sector• Funding facilities for Ecowas-Japan business partnership• Participation of Japan business firms to Ecowas 1rst Industry expo in 201618

EXPECTATIONS OF COOPERATION AND
PARTNERSHIP• SPECIFIC INTEREST SECTOR• INDUSTRY• AGRO INDUSTRY (COCOA, CASHEW, PALM OIL, CASAVA, TEXTILE, FERTILIZERS ETC.
• PHARMACEUTICAL• AUTOMOTIVE ASSEMBLY• TRANSPORTS• ENERGY• DISTRIBUTION• ICT• TOURISM19

I THANK YOUECOWAS HOPE TOPARTNER WITH YOU
VERY SOON20