Tanzania Daily News
Abdulwakil Saiboko 1 February 2010
Dar Es Salaam — A Cairo-based private equity firm, Citadel Capital, has announced plans to invest between 200 and 400 million US Dollars (260bn/- to 520bn/-) in East Africa (Tanzania, Kenya and Uganda), this year, with agriculture, mining, petroleum, transport and logistics being the priority sectors.
The company's senior consultant, Ms Sinit Zeru, told the 'Daily News' in an exclusive interview in Dar es Salaam today that the investment will mainly focus on the agriculture sector, with Tanzania's 'Kilimo Kwanza' initiative taking the centre stage.
"The firm's expansion into Tanzania, Kenya and Uganda will extend its business model into the region's fertile and unexplored investment environments," she said.
Citadel Capital Chairman and Founder Ahmed Heikal said: "We have significant experience in the agriculture sector. We will continue to invest so long as appropriate opportunities emerge.
You may be interested in a recent case study in Sudan where we have so far acquired rights to more than 500,000 acres in north and south Sudan."
Dr Heikal said that investment in the agricultural sector would mainly involve food processing as long as opportunities present themselves.
"Our view is that African investors must themselves take the lead on large-scale infrastructure and industry investments that will catalyze economic development and have a multiplier effect across regional economies," said Dr Heikal.
He noted that they also see substantial opportunities presented by the strong growth of the continent's consumer base, which is leading to increased consumption and which they would translate into stronger demand for consumer finance.
However, Ms Zeru said that though she has met the Executive Director of Tanzania Investment Centre (TIC), Mr Ole Naiko, she was yet to talk to him about the intention of her clients.
They are now working with agencies to establish available opportunities after which they would consult TIC, she said.
