In Africa, there are at least 345 companies generating revenues of $1 billion or more annually, with 3 percent (11 firms) situated in East Africa (EA), signaling the region’s expanding consumer market across various sectors, according to a report from global consultancy firm McKinsey Global Institute.
Among EA countries, Kenya leads with the highest number of companies (six) generating $1 billion in annual revenues, followed by the Democratic Republic of Congo (DRC) with four and Tanzania with one company. However, Uganda, Rwanda, Burundi, South Sudan, and Somalia are absent from the list, as the report, titled ‘Reimagining economic growth in Africa: Turning diversity into opportunity,’ does not disclose the identities of the companies under review.
As of June 2023, South Africa hosts the majority (40 percent) of African companies generating $1 billion in annual revenues.
Consumer expenditure on the continent has experienced a compound annual growth rate of 3.9 percent since 2010, reaching $1.4 trillion in 2015. This figure is projected to increase to $2.1 trillion by 2025 and $2.5 trillion by 2030, offering significant expansion opportunities in retail and distribution, according to research from an American firm, Brookings.
