As many as 70% of the economies with the fastest growth rates during 2011–2015 are in Africa. The structural change in Africa is spiked by a structural change in its economy: the agricultural societies of low productivity are rapidly transforming into industrial service societies. Consumer demand is strengthening, creating a positive cycle.
The growth is being held back by lack of capital. The capital-intensive construction sector is currently curbing economic growth, as companies cannot find premises and people cannot find homes. New jobs will be enabled by building business premises, and the jobs will create earnings, increase consumption and create a demand for housing.
Lack of equity prevents the use of loan financing which leads to a deadlock situation. Economic growth can be enabled by providing the real estate sector with equity, which is why very high returns can be expected on equity.
Taaleri has an office in Nairobi, the capital city of Kenya. Antti-Jussi Ahveninen, an expert in the African real estate sector, is based there and utilises his extremely strong local knowledge and networks.
Africa is moving to a period of strong, long-lasting growth. This growth, however, is slowed down by the lack of capital, particularly in the real estate sector. This is why Taaleri Africa Fund is investing in property and real estate development in East Africa, together with its international partners.
The fund is closed and no longer accepts new investors.