HARARE, Zimbabwe -- An international investment company said Tuesday it planned to launch an investment fund for Africa worth up to $120 million before the end of year.


Michael Power, senior portfolio manager for Africa and the Middle East for Baring International Investment Management Limited, said the fund would invest across the continent where there are 14 emerging stock markets.


"We will be launching Baring's Africa fund for investment in Africa. The launching will be before the end of 1994. We are talking between $80 million and $120 million," he said.


Baring manages investments worth $55 billion worldwide, 20 percent are in emerging markets of the Third World.


Power said the Africa fund would focus on countries outside South Africa.


"There has not been the right amount of balance in people investing in Africa before, because 90 percent of investment went to South Africa and 10 percent to the rest of Africa," he said.


"Africa is a resilient continent. When there's a drought the economy suffers but when it rains the economy springs up. There is better value for money in Africa but it requires someone who knows the continent to tap it."


Economic analysts say tough reforms sweeping Africa are expected to unleash economic growth, brightening prospects for long-term investment on the world's poorest continent.


They say sub-Saharan Africa in particular is being targeted for new international investment. Earlier this year two New York brokerage firms floated three new funds, raising some $350 million to invest in southern Africa, where peace prospects were boosted by South Africa's transition to democracy in April.


Power said a higher percentage of the Africa fund would be in Zimbabwe, whose stock market is now rated among the world's best emerging market performers. But he said it was essential Zimbabwe's majority blacks participated more in the white-dominated economy to ensure long-term stability.