Tag Archive for: Egypt

Egyptian B2B e-commerce marketplace MaxAB has secured seed funding of $6.2 million, one of the largest ever seed rounds raised by a MENA startup. The round was co-led by Beco Capital, 4DX Ventures and Endure Capital, with participation from 500 Startups, Outlierz Ventures and other local investors.

MaxAB connects informal food and grocery retailers with suppliers in Egypt’s under-served areas via an easy-to-use app. With this new injection of capital, the company expects to reach 50% of Egypt’s population within the next two years before expanding across different markets.

Led by Egyptian and Libyan entrepreneurs Belal El-Megharbel (previously at Careem) and Mohamed Ben Halim (Previously at Aramex), the 270-strong MaxAB team has built a stock list of over 600 products, including groceries, beverages, dairy, confectionery and non-food products.

Simplifying Egypt’s FMCG market

Using technology to close the gap between traditional retailers – over 400,000 in Egypt – and FMCGs, the Cairo based startup leverages technology to connect brands to retailers via its Android app. It is working to automate and simplify Egypt’s $45bn FMCG food retail market and has recorded 50% month-on-month growth, with 9,000 activated retailers on the platform already.

Brands using MaxAB have access to real-time demand monitoring and business intelligence tools, which improve end-to-end supply chain control, and better forecasting. Retailers in remote and under-served areas will have access to a wide variety of products, the convenience of ordering stock online in addition to second-day deliveries not to mention the added benefit of access to credit facilities.

Belal El-Megharbel, co-founder and CEO at MaxAB, says: “Nobody has addressed the underserved retailers before; retailers are faced with a limited assortment of products, the hassle of dealing with multiple wholesalers and restricted access to credit facilities. At the other end of the supply chain, the FMCGs have limited visibility on market trends, demand patterns and retailers’ business needs – leading to losing potential revenue opportunities.

“We are using data and analytics to understand purchasing and retail behaviours, as well as make the end-to-end process of brands seamless and convenient. This will enable FMCGs to make informed decisions about their purchasing, which will ultimately have a positive effect on their bottom line and catalyse one of the biggest markets in Egypt. This investment round will allow us to accelerate our growth plans and develop new products and services throughout North Africa using the first of its kind B2B e-commerce platform.”

Redefining the grocery supply chain

Yousef Hammad, managing partner at Beco Capital, says: “‘This is Sparta’ was the first impression I got when I met this team of warriors, battling one of the biggest inefficiencies on the country’s balance sheets. By leveraging technology, MaxAB is redefining the grocery supply chain in Egypt to fit the requirements of the micro retailers who make up 90% of the grocery market. The metrics they have recorded in such a short period are impressive, and we expect to continue to see double-digit growth as they scale.”

Peter Orth, co-founder and managing partner at 4DX Ventures, says: “We’ve been consistently impressed with how Belal and the rest of the team have executed, and achieved significant traction in a very short period of time. We believe that their B2B e-commerce model is the right way to serve this significant market, and we’re really excited to partner with the team to drive the next phase of growth.”

To learn more about MaxAB, and what they’re doing in the Egyptian FMCG industry, click here.

 

For information as to how Relocation Africa can help you with your Mobility, Immigration, Research, Remuneration, and Expat Tax needs, email marketing@relocationafrica.com, or call us on +27 21 763 4240.

Sources: [1], [2]. Image sources: [1], [2].

New World Wealth and AfrAsia Bank have published the latest African Wealth Report, showing the levels of wealth of various African nations at the end of 2018.

According to the report, South Africa is still the richest country in Africa, with the high net worth (HNWI) population of 39,200 people holding the most wealth at $649 billion.

This is double that of the second wealthiest African nation, Egypt, where the HNWI population of 16,700 people holds $303 billion.

Egypt is followed by Nigeria ($225 billion), Morocco ($114 billion) and Kenya ($93 billion).

Total wealth held on the continent amounts to US$2.2 trillion. Around US$920 billion (42%) of this is held by HNWIs, New World Wealth said.

While South Africa ranks at the top of the list, on a per capita basis ($11,450), it is only the second wealthiest nation – following behind Mauritius, where wealth per capita sits at $31,000.

Africa’s richest cities

South African cities ranks as the top richest cities on the continent, with Johannesburg and Cape Town holding the most HNWI wealth among the major cities covered, taking the first and second spots, respectively.

Total wealth held in Johannesburg amounts to US$248 billion, while total wealth held by Cape Town amounting to US$133 billion.

Most of Johannesburg’s wealth is concentrated in Sandton, New World Wealth said, which is home to the JSE (the largest stock market in Africa) and to the head offices of most of Africa’s largest banks and corporates.

Cape Town, meanwhile, is home to Africa’s most exclusive and expensive suburbs such as Clifton, Bishopscourt, Camps Bay and Bantry Bay. It is also a hotspot for wealthy second home owners from around the world. Major sectors there include: real estate, financial services (fund management), retail and tourism.

Also in the top five from South Africa is Durban and Umhlanga (combined), which holds total HNWI wealth of US$54 billion.

This figure includes wealth held in Durban, Umhlanga, La Lucia and Ballito. Notably, Umhlanga and Ballito are two of the fastest growing areas in SA, in terms of wealth growth over the past 10 years, the group said.

Among other African countries, Cairo (Egypt), Lagos (Nigeria) and Nairobi (Kenya) stand out as wealthy cities, sitting on par with South Africa’s popular HNWI areas.

Total wealth held in Cairo amounts to US$129 billion – and the city is home to more billionaires than any other African city (four billionaires live there, compared to just two in Johannesburg).

In Lagos, total wealth held in the city amounts to US$96 billion. This is the largest city in Africa, in terms of population and GDP (but not in terms of wealth).

The richest cities in Africa.

The richest areas in South Africa.

 

For information as to how Relocation Africa can help you with your Mobility, Immigration, Research, Remuneration, and Expat Tax needs, email marketing@relocationafrica.com, or call us on +27 21 763 4240.

Sources: [1], [2]. Image sources: [1], [2].

NIGERIA road sign

Africa’s largest economy is slowly coming out of its worst recession in 30 years, and the Nigerian government continues to modernize its employment-based immigration system in an effort to attract international business. Earlier this year, Nigeria finally adopted the administrative regulations to implement its Immigration Act of 2015, which was the country’s first significant amendment of their immigration law in over 50 years. This year, the Immigration Regulations 2017 made broad changes to the full spectrum of business visas, visas-on-arrival, work and residence permits, entry procedures, identification and registration rules, and administrative processes.


egypt

EGYPT | Visa-Free Privileges Suspended for Qatari Citizens, and Updated List of Foreign Nationals Required to Register In-Country Within Seven-Days of Entry
Effective July 20, the Egyptian Ministry of Foreign Affairs began denying visa-free entry to Qatari citizens. This is the latest salvo in the ongoing diplomatic and trade war by 16 Middle Eastern countries against the nation of Qatar. Egyptian officials have publicly indicated that exemptions to the visa-free suspension will be considered on a case-by-case basis for Qatari nationals with Egyptian spouses or mothers; however, it is unclear thus far how applicants would exercise that option.

While Qatari nationals are still eligible to apply for visas to enter Egypt, these applications have been subject to heightened scrutiny and high rates of rejection even prior to the current escalated tensions. With the Egyptian diplomatic missions in Qatar having been withdrawn in June, applications will likely need to be lodged at the Egyptian diplomatic posts in Kuwait or Oman, which have thus far elected to remain neutral in the current dispute. Even clearing that hurdle, applications by Qatari citizens will still face greater rejection levels absent close connections to individuals or companies in Egypt.

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Given the growth in Africa, employers are regularly seconding their employees to businesses in other jurisdictions.

Algeria

In Algeria, work permits are only available for posts, which cannot be undertaken by Algerian nationals. Further, foreign employees may not be hired unless they have a minimum of a ‘technical level of qualification’.

An employer must make a declaration to the competent authorities within 48 hours of hiring a foreign national and present any documents, which give that employer the right to hire foreigners. On termination of the employee’s contract, the employer must again inform the authorities.

There is no official English translation of the Algerian laws and consulates appear to apply the regulations with slight modifications. For this reason, those wishing to start businesses or send employees to Algeria should consult their nearest consulate or embassy.

Angola

In Angola, a foreign national seeking employment requires a work visa. The work visa allows its holder multiple entries into Angola and the holder can remain in Angola until the work contract expires.

The work visa must be used within 60 days of the date of its concession. It allows the holder to work in Angola for a period of 12 months, which can be prolonged for equal periods, up until the termination of the work contract.

Once a foreign worker has worked in Angola for a minimum of five years and wishes to relocate permanently to Angola, he or she will be entitled to apply for a residence visa. The residence visa entitles its holder to carry on a paid job.

Botswana

In Botswana, a foreign national issued with a work permit does not automatically qualify for a residence permit. As such, the foreign national must make two separate applications, one for a residence permit and another for a work permit. It is common for both applications to be submitted simultaneously.

There are no special permits for individuals who possess scarce skills but individuals possessing scarce skills obtain more points in the visa evaluation process.

Burundi

In Burundi, a foreigner is able to enter the country for a limited period of three months (for business or touristic purposes) by obtaining an ordinary visa, also called an entry visa (le visa d’entrée). Once in the country, a foreigner wishing to live and work in Burundi will have to apply for a visa d’etablissement.

A foreign worker wishing to work in Burundi is required to obtain an invitation authenticated by the Immigration Office in Burundi or by the Ministry of External Relations and International Cooperation, which forms part of the visa application.

In terms of the Règlementation de l’emploi des étrangers au Burundi, foreign labourers should not exceed 20% of the Burundian company’s employees.

Egypt

To work in Egypt, a foreign employee requires an entry visa, a residence permit and a work permit. An employer who wishes to hire a foreign employee must submit a comprehensive formal request to the Ministry of Manpower and Immigration.

Foreigners are prohibited from working as tour guides, exporters, importers and customer officers. Furthermore, certain professions require a specific authorisation from the relevant authority.

The maximum percentage of foreigners that may be employed by corporate entities in Egypt is 10%. However, the competent Minister can vary this percentage upon approval.

Ghana

A foreign national issued with a work permit or an immigration quota permit in Ghana does not automatically qualify for a residence permit. A foreigner that has been granted a work permit or immigrant quota cannot start working immediately in Ghana unless the Director of Immigration grants that person residence permit. A foreign national, must therefore make two separate applications, one for a residence permit and another for a work permit.

One month before the expiry of a work permit, a foreign national may apply to the Immigrant Quota Committee for the renewal of his permit, which is treated as if it were a fresh application.

A foreign national granted a work permit or immigrant quota work permit must also submit an annual return, which must be completed prior to 14th of January in each year.

Kenya

To engage in employment in Kenya, foreign nationals are required to obtain work permits, and people who intend remaining in Kenya for work or business purposes for a short period of time can obtain a special pass. It is issued to a person who intends to engage in any form of employment (whether paid or unpaid) or in any other income generating activity. The special pass is valid for a period not exceeding three months.

Mozambique

In Mozambique, the labour laws provide for two different work permits for long-term secondments, namely a work permit within the quota or labour communication; and a work permit above the quota or work authorisation. The Mozambican labour regime restricts the admission of expatriates working for Mozambican companies or branches: 5% if a large company or branch (with more than 100 employees); 8% if a medium-sized company or branch (between 10 and 100 employees); and 10% if a small company or branch (fewer than 10 employees).

However, a Mozambican company may apply for a work permit above the quota for a foreign national, if it can prove that individual possesses certain skills and knowledge that cannot be found in any other potential Mozambican candidate.

Further, in terms of the Labour Law (23/2007), investment projects approved by the Government which contemplate the employment foreign nationals in a smaller or greater percentage than foreseen above, do not require work permits and notice must be given to the Minister of Labour within fifteen days after the foreign national enters Mozambique.

A Mozambican company that wishes to employ a foreign employee must apply for a work permit before the employee enters Mozambique. There is a three-step process, which is to be followed before a foreign employee can start working and legally living in Mozambique. Short-term work permits are available for occasional and specific services not exceeding 90 days in a calendar year. It may be worthwhile considering the cost and time implications of a short-term work permit versus an ordinary work permit if an employee is rendering services not exceeding 90 days in a calendar year.

Nigeria

Individuals travelling to Nigeria on short-term assignments require either a Temporary Work Permit or a Business Visitor’s Visa. The provisions in the Immigration Act, 2015 pertaining to foreign nationals requiring visas, work permit and residence permits do not apply to nationals of member states of the Economic Community of West African States (ECWAS). ECWAS nationals are exempted from requiring entry visas and can work, reside and undertake commercial and industrial activities within Nigeria.

Long-term assignments are linked to specific job designations, meaning that the visa is connected to both the entity and the position in which the foreign national employee will be assigned. There is a specific process, which the employer is required to follow before the employee can apply for their work visa.

South Africa

A foreign national who wishes to work in South Africa needs to obtain the appropriate temporary residence visa. The Immigration Act 2002 and its regulations provide for different types of work visas, depending on the circumstances surrounding the applicant’s entry into South Africa.

The General Work Visa is issued to applicants who do not have skills and/or expertise listed on the critical skills list. One of the key issues in obtaining a general work visa is that the employer must be able to demonstrate that there are no South African citizens or permanent residents with qualifications or skills and experience equivalent to those of the foreign applicant.

The Critical Skills Work Visa is issued to applicants in possession of skills or qualifications that are considered critical. The employer does not have to demonstrate that it was unable to find a suitable citizen or permanent resident for the relevant position.

The Intra-Company Transfer Work Visa is issued in circumstances where multi-national companies may decide to transfer an existing employee in a key position from a foreign branch to a branch, subsidiary or an affiliate of that company in South Africa.

Tanzania

A foreign national desirous of working in Tanzania needs to obtain both a residence and a work permit.

An individual issued with a work permit does not automatically qualify for a residence permit. Thus, the foreign nation must make two separate applications – one to the Labour Commissioner and the other to the Immigration Services Department.

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