Private Capital in Africa

Executive Summary

Africa offers compelling return potential, but it does not reward passive exposure or imported investment models. Risk in African markets is often mispriced — either overstated at entry or underestimated during execution.

The strongest returns accrue to investors who combine capital with operational capability, local insight, and governance discipline. Financial engineering alone is insufficient; value is created on the ground.

In this report

• Executive summary
• Africa's private capital landscape in context
• Risk perception vs. risk reality
• Return drivers and value creation pathways
• Execution risk: where deals succeed or fail
• Fund structures, time horizons, and liquidity constraints
• Local partnerships, governance, and control
• Sectoral opportunity mapping
• Strategic implications for investors and operators

Key Themes

Risk re-framing: Political, FX, and regulatory risk vs. execution risk

Returns in practice: What actually drives outperformance

Execution reality: Talent, systems, and operational control

Governance matters: Boards, incentives, and decision rights

Time horizons: Patience, liquidity, and exit realism