Charting the way forward for logistics in Africa
- Africa is still heavily reliant on roads for logistics, with only 15% of roads paved in Nigeria.
- Operating a logistics business in Africa is not as exciting as other tech sectors like fintech.
- Finance is a consistent need in the logistics business, and unsecured loans can lead to loss of investment.
The logistics industry in Africa faces significant challenges, including fragmentation, lack of excitement for investors, and the need for consistent finance. Coordinating drivers and dealing with fuel hikes, asset maintenance, and poor road systems add to the complexity. However, there is optimism for the future, especially with the potential of the African Continental Free Trade Area agreement and government support for road maintenance.
