Creating Africa's inclusive market platform

The African continent is poised for economic growth through the promotion of inclusive markets, as highlighted at a side event during the African Development Week in Senegal. The African Inclusive Markets Excellence Centre aims to be the leading pan-African platform for fostering inclusive business practices and markets. Gabriela Schwartz, the Founder and Managing Director of Bonégis, shed light on the significance of inclusive markets in Africa during an interview with CNBC Africa's Bonney Tunya. Schwartz emphasized the untapped potential of inclusive markets for driving economic development in African countries by engaging the bottom of the pyramid. Viewing individuals traditionally considered poor as not just beneficiaries, but also as customers, employees, and market participants is a novel approach that opens up new opportunities on the continent. She highlighted that Africa's relatively weaker existing structures compared to Europe and the Western world offer a fertile ground for pioneering inclusive businesses. The conversation also delved into successful examples of inclusive market initiatives across English-speaking African nations, particularly in sectors like finance, energy, and agriculture. However, Schwartz acknowledged that there are likely numerous untold success stories waiting to be discovered. Establishing a platform for shared learning and exchange of best practices is crucial for accelerating the replication of successful models and avoiding pitfalls. A key point of discussion was the pivotal role of collaboration between the private sector and governments in advancing inclusive markets. While public-private partnerships are common, Schwartz underscored the need to ensure that small and medium-sized enterprises (SMEs) truly benefit from such collaborations. Encouraging public sector support for local SMEs and fostering a more inclusive approach to partnerships can drive sustainable growth and innovation. Addressing the pressing issue of funding for inclusive market initiatives, Schwartz emphasized the challenges faced due to the nascent nature of the sector. Traditional donors and investors often overlook inclusive businesses, perceiving the customer base as less lucrative. To bridge this gap, she highlighted the importance of establishing new funding mechanisms such as impact investing and 'patient money.' The rise of impact investing as a viable financial market signals a growing interest in supporting businesses that prioritize social impact alongside financial returns. With a clear focus on promoting inclusive markets, Africa stands at a pivotal juncture in its economic development journey. By harnessing the power of inclusive business practices, the continent can unlock new pathways to sustainable growth and prosperity. The collective efforts of stakeholders across sectors will be essential in driving this transformative agenda forward.