Joanne Bushell, CEO of Middle East & Africa of Regus.
East African companies concentrating on domestic trade are making more profits compared to their exporting counterparts, a survey has revealed.
The latest Regus Global Survey on business performance conducted on over 12,000 companies globally, shows that East African companies operating within their domestic markets are realising higher annual returns in form of profits and revenue.
This is an exceptional trend that is different from the rest of the world where companies operating in international markets are reporting better business results than those concentrating on their domestic markets.
East Africa has a population of about 140 million people with a combined GDP of about $74 billion.
Data from the survey emphasizes the need for both local and foreign companies to wake up to the growing market in the East African Community with a growing demand for a number of commodities.
Speaking at the release of the report, Ms Joanne Bushell, the regional vice-president at Regus said: “This report provides hard evidence that East Africa’s balance of trade is becoming more even handed.”
She however said even with the presence of good business in the region, local companies are looking at operations outside the region.
“Although companies trading domestically have fared better, even the majority of these companies report plans to expand abroad, suggesting that in the next decade East African firms will once again be looking for export-led growth.”
By Nicholas Kalungi, Daily Monitor
Do you have a story or an article to publish? Please email us to [email protected]