Of the African nations, Rwanda ranks among top African countries in in Global Entrepreneurship Index– ahead of other prominent African markets.
Rwanda scores highly on the Policy and Finance Pillars driven by government initiatives to increase the ease of doing business. Credit is easily available and business transparency is high.
The research, conducted by Mara Foundation and Opinium Research, examines the state of entrepreneurship around the world.
Inaugural index features special ‘Focus on Africa’ section, with a deeper look at ‘women in the workplace’ and ‘youth unemployment’
Singapore has topped an in-depth study of the world’s nations as offering the best environment for entrepreneurs, according to an Index developed by Mara Foundation and Opinium Research.
The inaugural Ashish J Thakkar Global Entrepreneurship Index measures entrepreneurial environments around the world and assesses each of its 85 countries against a set of criteria that spans policy, infrastructure, education, entrepreneurial environment and finance.
Of the African nations, Namibia ranks 42nd overall, Rwanda ranks 43rd, Botswana ranks 44th and South Africa ranks 46th – all of which perform well on the ‘Policy’ pillar but have some way to go to improve on their infrastructure and education in particular.
Of the top three African countries in the Index, Namibia and Botswana are stronger on the education pillar because of comparatively higher levels of literacy and quality in education. Both countries have made education central to their development.
Zambia scores particularly well on the Finance Pillar (72). Primarily because of the availability of credit and a low total tax rate.
Zambia, South Africa and Rwanda, the top 3 countries in Africa on the Finance pillar, stand head and shoulders above their peers, with scores of 72, 66 and 65 respectively. This places Zambia in the top 10 of all countries globally on the Finance Pillar, just behind the USA (78).
Significant challenges exist in terms of Africa’s political stability, underdeveloped infrastructure, poor education and under-diversified economies. Comparatively lower scores for infrastructure are primarily driven by a lack of electrical access and the technology that comes with reliable access to energy, such as telecommunications and internet access.
Lower scores for education are due to the overall quality of education and lower literacy rates. Boosting opportunities for a quality education is imperative for increasing the region’s quality of entrepreneurs and start-ups and providing a suitable workforce.