Emerging Insights Ep.1: Africa's Risk Premium

Is Africa’s Risk Premium Justified? | Emerging Insight Ep. 1

Why do African sovereigns and corporates consistently pay more to borrow than similarly rated emerging-market peers?

At the heart of the debate is a gap of 300–400 basis points. Is this premium justified by risk, or is Africa systematically mispriced by global capital markets?

In the first episode of Emerging Insight, Tuna Impact’s new thought leadership series, Alain brings together three leading investment professionals to discuss one of the most important questions in African finance today.

Featuring:

  • Omotunde Lawal – Global Corporate Credit Investor (formerly Barings)
  • Ishitaa Sharma – J.P. Morgan Asset Management
  • Vincent Hakyemez – British International Investment (formerly J.P. Morgan)

 

Together, they explore:

  • What drives Africa’s higher borrowing costs.
  • Whether current risk pricing reflects reality.
  • The role of sovereign credit ratings.
  • What we can learn from Development Finance Institutions.
  • Whether Africa needs its own credit rating agency.
  • What reforms could help reduce the continent’s cost of capital.

 

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