Major risks to projects in Africa:
Political risks Exchange risks – deals have to be structured very carefully to limit the exposure to foreign exchange. Securing bonds – this must be done on the government side. Environmental risks – projects have been stopped if they are too environmentally sensitive. The ‘ soft’ issues have become hard issues. Social risks – the issue of land and ownership is a very complicated one in Africa. The 99- year lease has gone some way to alleviate these complications.