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AFRICAN TECHECOSYSTEMS OF THE FUTURE 2021/22 METHODOLOGY


To create a shortlist for fDi’s African Tech Ecosystems of the Future 2021/22, the fDi Intelligence division of the Financial Times collected data using the specialist online tools fDi Markets and fDi Benchmark, in additionto supporting data fromBriter Bridges. The list of 17 locations


was drawn up to include locations that had greater


DATA POINTS


• Population • Average annual population growth rate (2016-2020)


• Unemployment Rate • Inflation • GDP (PPP Current $) (Millions)


• GDP per Capita (PPP Current $)


• Average annual growth in GDP 2016-2021


• Average annual forecasted GDP growth (2021-25)


• Outward FDI (December 2015 - December 2020)


• Outward FDI per 100,000 people (December 2015 - December 2020)


• Inward FDI (December 2015 - December 2020)


• Inward FDI per 100,000 people(December 2015 - December 2020)


• Business machines and equipment


• FDI in communications as a percentage of total inward FDI (December 2015 - December 2020)


• FDI in software and IT services as a percentage of total inward FDI (December 2015 - December 2020)


• Business schools computer and management training


• FDI in Communications (December 2015 - December 2020)


• FDI in software and IT services (December 2015 - December 2020) • FDI in software R&D


(December 2015 - December 2020)


• Total Disclosed Investment per capita


• Total Disclosed Investment


• Number of start-ups per 100,000


• No of Patents 2003-2020 • No of Patents 2003-2020 per 100,000 people


• Labour Force as%of population aged 15+


• UCH index of essential service coverage


• Social Progress Index • Skillset of Graduates • Ease of finding skilled employees


• No of higher education institutions


• Number of higher education institutions per 100,000 population


• Number of IB schools • Number of IB Schools per 100,000 population


• Number of Top 1200 universities


• Learning Adjusted Years of Schooling


• HCI • Life expectancy • Number of Coding Schools


• Number of coding schools/100,000


• Health Security Index? • Ability to attract and retain talent


• Average salary ($) for unskilled worker


• Average salary ($) for semi-skilled worker


• Average salary ($) for skilled worker


• Annual rent for prime April/May 2021 www.fDiIntelligence.com


Grade A office space ($ per m²)


• Annual rent for prime Grade A industrial space ($ per m²)


• 4*/5* hotel in city centre ($ per night)


• Minimum wage ($ per month)


• Cost of establishing a business (% income per capita)


• Cost of registering a property (% property value)


• Cost of construction permits (% of warehouse value)


• Petrol prices ($ per litre) • Cost of establishing an electricity connection (absolute value using GNI)


• Corporation tax rate (%) • VAT/ common indirect tax rate (%)


• Total tax rate,%of profit • Country PPP/exchange rate 2020


• Cost for 1GB Data/USD • Download Speed (kb/s) • Percentage of people using the internet (%)


• Number of International Airports


• Mobile Phone subscribers (2020) per 1000


• Environmental Performance Index 2020


• Logistics Performance Index 2020


• Networked Readiness Index 2020


• Quality of overall infrastructure


• Quality of roads • Henley Passport Index • Total number of


companies within financial services sector 2020


• Total number of companies within the knowledge based sector 2020


• Proportion of companies within the knowledge based sector 2020 (%)


• Number of companies within the knowledge based sector per 100,000 population


• Number of jobs created by all inward FDI (December 2015 - December 2020)


• Number of jobs created by all inward FDI (December 2015 - December 2020) per 100,000 population


• Number of expansion/ co-location projects (2016-2020)


• Top 1000 World Banks 2020


• Days taken to start a business


• Hiring and Firing Index • Ease of doing business index


• Index of Economic Freedom


• Corruption Perception Index 2020


• Strength of Investor Protection Index


• Fragile States Index 2020 • Number of Business Hubs per 100000


• Number of Business Hubs • Number of Start ups


35


than 50 start-ups, had total investment in 2019 and 2020 greater than $500,000 and had more than nine tech hubs. Data was then collected for these 17 loca- tions under five categories: Economic Potential, Busi- ness Friendliness, Human Capital and Lifestyle, Cost Effectiveness and Connec- tivity. Locations scored up to a maximum of 25 points


for each datapoint, which were weighted by impor- tance to the FDI decision- making process in order to compile both the subcate- gory rankings aswell as the overall ‘African Tech Ecosys- tems of the Future 2021/22’ ranking. In addition, surveys


were collectedundera sixth category, FDI Strategy. For this category there were


eight submissions. These locations submitted details about their strategy, and each question was awarded a score out of five. This was carried out by a judging panelwhichwas comprised of both internal fDi Intelli- gence members and exter- nal judges. The questions were weighted by impor- tance in order to achieve the final strategy results. ■


THEDATA POINTS


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