RiskMap 2016 report predicts mix of restructuring, growth in West Africa

RiskMap 2016, a recently released report analyzing trends that could pose risks to global security, was recently published by Control Risks Group Holdings Ltd., and predictions for West Africa in the coming year include infrastructure upgrades and a restructuring of the national oil company in Nigeria, as well as economic growth in Burkina Faso.

“The changes we have seen in Burkina Faso and Nigeria reflected circumstances unique to each country," George Nicholls, senior managing director of Control Risks Southern Africa, said. "In both situations, the growing inter-connectivity of societies and access to communications – both themes of RiskMap 2015 – contributed to landmark political reconfigurations. But these factors alone were not sufficient to generate change, and they are unlikely to trigger change elsewhere in Africa.

“While we anticipate governments across the continent surviving pressures on them in 2016, there may be heightened volatility and tension during sensitive periods such as elections, and the political environments they shape are evolving," Nicholls said. "This requires investors to understand fully the drivers of change and their potential to impact the business environment, and to be prepared for alterations to posture and strategy.”

The map forecasts lower revenue from oil sales in Nigeria, which will mean a revamping of the national oil company by President Muhammadu Buhari and his Cabinet. The proposed national budget for 2016 is expected to include major funding for infrastructure improvements.

Burkina Faso will experience increased stability and economic growth, and the country, under the leadership of President Roch Marc Christian Kaboré, will experience political reform that will seek to end long-standing corruption. New mining projects will also be launched.

The complete report is available online at www.apo.af/TbU4qU. The map can be viewed at www.apo.af/mNML1y.