Brexit decision may affect money transfer to Africa, says Dahabshiil CEO

NAIROBI, KENYA: A decision by Britain to exit the European Union is likely to have far reaching effects on African businesses.
Several companies with roots in Africa have invested in the United Kingdom and other European nations and the strength of the Union has kept them in business.
In a historic referendum on 23 June, the UK voted to leave the EU after 43 years. The Leave camp won by 52 percent to 48 percent, with England and Wales voting strongly for Brexit, while London, Scotland and Northern Ireland backed staying in the EU.
UKIP leader, Nigel Farage, hailed it as the UK's ‘independence day’ but the Remain camp called it a ‘catastrophe’.
The pound fell to its lowest level against the dollar since 1985 as the markets reacted to the results.
One of the African companies that has invested in Europe, including the UK, Dahabshiil believes that a solid currency is good for business stability.
Abdirashid Duale, the CEO of Dahabshiil says the stability of Sterling and the Euro across the UK and in Europe have been good for remittances, trade and investment in Africa.  This, in turn, has improved the lives of many poor people in the continent.
"Remittances and other business transactions from the UK and generally from Europe have changed the lives of many in Africa.

Brexit is likely to increase uncertainty and market volatility, which might translate to slower economic activity and affect trade relations.