Strategic Investment Analysis in Emerging Markets: A Framework for Value Creation, Financial Resilience, and Sustainable Private Equity Performance in Sub-Saharan Africa


Authors : Oreoluwa Lois Agunbiade

Volume/Issue : Volume 10 - 2025, Issue 11 - November


Google Scholar : https://tinyurl.com/28zuuh7h

Scribd : https://tinyurl.com/4ts7ayzj

DOI : https://doi.org/10.38124/ijisrt/25nov1463

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Abstract : Emerging markets particularly in Sub-Saharan Africa present unique opportunities and challenges for investors seeking long-term value creation. Despite their high-growth potential, these markets are characterized by volatile macroeconomic conditions, data fragmentation, regulatory uncertainty, and operational inefficiencies that complicate traditional investment evaluation. This paper develops a comprehensive decision-making framework for private equity and institutional investors seeking to allocate capital more effectively across emerging African markets. Drawing from financial modeling principles, empirical market analyses, and practical observations from investment transactions, this study proposes a multi-layered approach anchored on five pillars: market attractiveness assessment, operational resilience evaluation, financial durability modeling, governance and risk benchmarking, and ESG-aligned long-term sustainability appraisal. Using sectoral case lenses, healthcare, technology, and logistics the paper demonstrates how investors can optimize due diligence, mitigate structural risks, strengthen portfolio performance, and enhance enterprise value. The findings argue that evidence-driven investment methodologies significantly improve capital allocation efficiency and reduce the probability of value erosion in frontier markets. This study contributes to academic and professional discourse by offering a structured, adaptable framework for investors, policymakers, and entrepreneurs navigating the complexities of private markets in Africa.

Keywords : Private Equity, Strategic Finance, Investment Analysis, Emerging Markets, Sub-Saharan Africa, ESG Integration, Value Creation, Financial Modeling, Due Diligence, Frontier Markets.

References :

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Emerging markets particularly in Sub-Saharan Africa present unique opportunities and challenges for investors seeking long-term value creation. Despite their high-growth potential, these markets are characterized by volatile macroeconomic conditions, data fragmentation, regulatory uncertainty, and operational inefficiencies that complicate traditional investment evaluation. This paper develops a comprehensive decision-making framework for private equity and institutional investors seeking to allocate capital more effectively across emerging African markets. Drawing from financial modeling principles, empirical market analyses, and practical observations from investment transactions, this study proposes a multi-layered approach anchored on five pillars: market attractiveness assessment, operational resilience evaluation, financial durability modeling, governance and risk benchmarking, and ESG-aligned long-term sustainability appraisal. Using sectoral case lenses, healthcare, technology, and logistics the paper demonstrates how investors can optimize due diligence, mitigate structural risks, strengthen portfolio performance, and enhance enterprise value. The findings argue that evidence-driven investment methodologies significantly improve capital allocation efficiency and reduce the probability of value erosion in frontier markets. This study contributes to academic and professional discourse by offering a structured, adaptable framework for investors, policymakers, and entrepreneurs navigating the complexities of private markets in Africa.

Keywords : Private Equity, Strategic Finance, Investment Analysis, Emerging Markets, Sub-Saharan Africa, ESG Integration, Value Creation, Financial Modeling, Due Diligence, Frontier Markets.

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Paper Submission Last Date
31 - December - 2025

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