This issue’s discussions highlighted varied economic and political developments across several regions. In the United States, election developments are impacting market dynamics, with a strong focus on technological advancements in operational cost management. China continues to see growth in asset management, with increasing foreign real estate investments. Spain and Portugal are experiencing a boom in real estate, driven by robust venture capital activities and favorable investment conditions. The UK faces potential tax changes affecting the M&A sector, while Kenya deals with political unrest amidst strong venture capital interest in climate tech. Malaysia benefits from geopolitical shifts, attracting manufacturing and digital infrastructure investments due to its stable economic environment.

What is happening in the US?

Anthony Jarrin, CEO at The Cannaregio Group, shared that in the United States, the current focus is on the upcoming elections, which has led to some market adjustments. Despite these fluctuations, the economy remains strong with sectors that rebounded post-pandemic continuing to perform well. He pointed out ongoing challenges such as inflation and rising operational costs impacting various industries, including hospitality and real estate. However, advancements in technology and process optimizations are significantly helping in reducing these costs. Tony emphasized the importance of AI and other technologies in improving operational efficiencies, which are crucial in sustaining the U.S.’s strong economic performance and its status as a hub of innovation.

What is happening in Hong Kong?

Ernest Borge, CEO at Path Capital Ltd, shared that the asset management market in Hong Kong is robust, with an estimated size of about 23 trillion USD, including significant contributions from pension funds. He expressed optimism about the sector’s growth, noting an increasing flow of capital from new Chinese family offices seeking investment opportunities abroad, particularly in real estate in Europe and Latin America. Ernest also mentioned that financial offices from regions like the Cayman Islands, Switzerland, London, and Spain are expanding their presence in Asia Pacific, setting up representative offices in Singapore and Hong Kong to capitalize on the diverse opportunities the region offers. He encouraged exploring investment opportunities across Asia Pacific, highlighting the economic growth and potential in markets like Mainland China, Hong Kong, Singapore, and Indonesia.

What is happening in Spain?

Marta Albert, Principal at QG Family Office, pointed out that Spain remains a vibrant place, although it faces challenges with the influx of tourists, which has become overwhelming in many locales, similar to other tourist hotspots like London. In the real estate sector, prices have soared significantly, driven by substantial investments from Latin American family offices, particularly in Madrid, where the competition for property has intensified for locals. Marta also highlighted the continued strong interest in venture capital investments, especially in technology, artificial intelligence, and fintech sectors, indicating a healthy appetite for innovative ventures among investors.

What is happening in The UK?

Simon Morris, Founder at Wiliby Co Ltd, shared that in the UK, the election campaigns have significantly influenced the economic atmosphere, particularly with the potential increase in taxes despite initial assurances otherwise. This has prompted concerns within the M&A community, leading many business owners to consider selling their businesses before these changes take effect, expected around November. Simon also noted that the economy is growing but at a pace close to being flat, and there is notable activity in the M&A sector, with a particular increase in smaller businesses looking to sell.

What is happening in Portugal?

Goncalo Terenas, President at the Chambre of Commerce, shared that Portugal is currently one of the most attractive countries in Europe for investment and residency. He highlighted the ongoing success of the Golden Visa program, which grants citizenship through investment, making Portugal a desirable destination. Goncalo noted the increasing presence of American investors and associations from Silicon Valley establishing operations in Portugal. He also mentioned the financial and economic stability of the country, including the advantageous investment conditions in free zones like Madeira. Additionally, Goncalo pointed out the appeal of Portugal as a hub for businesses due to its strategic location, diverse cultural environment, and excellent connectivity, which are attracting global investors, further influenced by factors like Brexit.

What is happening in India?

Rajiv Gupta, Principal at Avatar Growth Capital Partners, shared that India is experiencing significant growth with continued interest from the global investment community, not just in public markets but also in private sectors. He highlighted the recent budget announcements which have favorably impacted both infrastructure and consumer sectors, suggesting a balanced approach to boosting economic activity across various industries.

What is happening in Kenya?

Florent Nduwayezu, Syndicate Investor at EUVC, shared that Nairobi, Kenya, has been experiencing significant public unrest due to proposed tax increases, leading to widespread demonstrations. These events prompted the government to withdraw the controversial bill and reshuffle the cabinet, although the changes have not been broadly welcomed. Despite the political turbulence, Kenya’s financial sector shows resilience, especially in the venture capital arena. Florent highlighted that Kenya led Africa in VC investments last year, with a focus on climate tech ventures related to agriculture, climate resilience, and adaptation. Additionally, the energy sector in Kenya is notably progressive, with over 80% of its energy derived from clean sources. The fintech sector is also thriving, addressing needs in the middle-income consumer market and providing much-needed working capital for businesses.

What is happening in Malaysia?

Y T Soo, Founder at YTS First Capital Sdn Bhd, shared that Malaysia is currently enjoying a period of peace and stability under a unity coalition government, which has been beneficial for business activities. He noted that Malaysia’s GDP growth rate is approximately 4.5%, with inflation at 3.5%. The main areas attracting investment are in the digital space, particularly in semiconductor manufacturing and data center development. Y T Soo highlighted the crucial role of foreign labor from countries like Bangladesh, India, Pakistan, Indonesia, and the Philippines in supporting various industries within Malaysia. Additionally, he mentioned that tourism is flourishing with strong performance from local airlines that continue to enhance connectivity. Malaysia is also benefiting from the relocation of manufacturing industries due to geopolitical tensions, positioning it as a key player in the regional economic landscape.

The 184nd G.I.L.C. Summit brought together top investment professionals from around the globe to delve into the evolving economic landscapes across various countries. Position yourself at the forefront of the ever-changing world of global finance by reserving your place at our upcoming Club events.