CURRENT CLIMATE FOR INVESTMENT
Good morning all,
Yes, the current climate for investment and future for Zambians like myself, is a concern. The kwacha now at 13 to the dollar, daily power cuts, cost of living going up and a very worrying outlook for the future.
However, every cloud has a silver lining so we ALL have to team together and look for the positive side and the opportunities under the current climate. There is always a good side.
Like the stock exchange, you buy when things are down and sell when the price is up. They say everything has a 7-year cycle. No downtime is likely to go beyond the 7 years, and I do feel this will only be a 2 to 3 year cycle. So let us look at where to invest and why:
There is an enormous amount of exposure on our tourism industry and we do have some of the best places to visit compared to anywhere else in the world. For tourism, the weaker the kwacha gets, the more affordable the holiday gets. We are also seeing a huge local market for tourism emerging, something we have never seen before. Our own people are curious and now want to visit the many places in their own country that they have never been to.
What we do need is bigger lodges/hotels in order to offer more affordable holidays for our local market and neighbouring countries. Our elite lodges are run on a 5-star basis and offer service and accommodation second to none with world class standards, which thankfully brings in international wealthy tourists, which we need.
However, lets now look after our local and regional market. I have sites and places available now that I would love to discuss with you.
With the emphasis now being on producing our own produce and not importing (totally agree), you now have the opportunity to grow your produce and have a market you can sell it to. And remember, land is value, it is an asset that will continue to go up in price as we see the development and road networking taking place everywhere.
And again they are now encouraging (at last) the manufacturing of our own goods. Remember the days when we had our own, textile factory, tin canning factory, bottling factory and we even produced Fiat here? And you know a lot of these old commercial sites (especially in Livingstone), are still standing derelict.
The more trouble a country is in, the more investors you see coming in to invest at the right time. The more corporate groups will be coming in to “rescue” the country. Therefore, the demand on office space and warehousing goes up. The yields on your returns on these properties will remain high as we have a long way to go before the market is flooded.
RESIDENTIAL PROPERTIES TO LET
Although there is a lot more on the market now, giving a wider range of rental options, there are still opportunities for investors buying to let. The key to success is to know your market and build the correct product in the right price range in the correct location. We are always happy to sit down and discuss this with you prior to investment.
AND FOR BIG INVESTORS HERE IS WHAT WE NEED
More schools, affordable ones. A top of the range, large hospital. Retirement home.
FOR THE ZAMBIANS WHO FEEL WE DON’T NEED INVESTORS HERE S WHY WE DO
It is sad to say, generally speaking we wont have the large sums of money the recognized groups are coming in with and even if we did we would not have the expertise and skills.
ADVANTAGES OF INVESTORS
They bring money into the country. They generate jobs which we need. They train us so we too can have their level of skills.
SO POSITIVE THINKING AND LET’S KEEP OUR COUNTRY ON TOP SO WE CAN MAKE THAT DIFFERENCE
Please feel free to call into any of our Homenet offices for advice: Cresta Golfview Hotel, Office Block no 2, Great East road, Lusaka. Chila offices close to Kabulonga roundabout. Spar centre Kitwe. Shoprite centre Livingstone. Shoprite centre Chililabombwe. Opening in Mongu soon.
23 years of business, we have seen it all and still here.
Just listed today: Golden Investment Opportunity:
Situated on 30 acres (with 3 subdivisions) on landscaped grounds with room for further development in a prime area of Lusaka. 400m from main road and within walking distance to a large international school with over 500 pupils. Currently 9% ROI with room to develop further in an area of good capital growth. To know more go to www.homenetzambia.com and look for web reference RL870.
Author: Janet Irwin