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Shoprite pulls the plug on Nigeria (pop 206m) – trouble for SA companies abroad?
Shoprite is pulling the plug on Nigeria.
The Cape Town-based retailer – the largest in Africa - made the announcement on Monday.
The company spent 15 tough years in what is the Continent’s largest economy and most populous nation (206 million).
Shoprite reported an 8.7% rise in sales in South Africa for the year ending on 30 June 2020.
Sales outside of South Africa – but excluding Nigeria – fell by 1.4%.
The Money Show’s Bruce Whitfield interviewed Dianna Games, Chief Executive at business consultancy Africa At Work.
Nigeria went into recession in 2015/2016… and hasn’t really recovered… then Covid hit, and oil prices plummeted again… On top of that, huge devaluations…
Dianna Games, Chief Executive - Africa At Work
Shoprite had huge expansion plans. It’s a pity it worked out this way.
Dianna Games, Chief Executive - Africa At Work
The forex issue is a huge issue. Even if you’re making money in Nigeria, you can’t get it out… It’s a difficult market…
Dianna Games, Chief Executive - Africa At Work
The whole Continent – along with the rest of the world, by the way – is in trouble.
Dianna Games, Chief Executive - Africa At Work
Listen to the interview in the audio below.
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