HSBC Takes Important Step Into Africa With Nedbank Deal

It may not quite be a new scramble for Africa. But Nedbank, in which HSBC confirmed Monday it’s in talks to acquire a controlling stake, was certainly one of the last opportunities for international banks to buy a ready-made beach-head into the mostly untapped continent.
Beyond the broader fact of growing GDP and untapped consumers, international banks are attracted to Africa because the continent is itself attractive to Asia. As a hub for resources needed by commodity-hungry Chinese industry, the links between the continents continue to strengthen. South Africa, as the major economic power in the region which commands around 20% of Africa’s GDP, is the ideal springboard. Read more...