Africa has announced a strategic initiative encompassing 69 flagship infrastructure projects, with a total estimated investment of $215 billion. This initiative was highlighted by Nardos Bekele-Thomas, the Director-General of AUDA-NEPAD, at the recent Alamein Africa Forum, where she emphasized the pressing need for effective mobilization of African capital and strengthened partnerships between public authorities and the private sector.
Bekele-Thomas noted that Africa faces significant challenges in translating its economic ambitions into actionable results. Current statistics reveal that 80% of infrastructure projects falter at the feasibility stage, and fewer than 10% secure financial backing. According to her, the continent must evolve from mere announcements to executing sustainable and monitored investments.
“Africa is not only a continent of raw materials, but also one rich in human and financial potential, capable of building productive economies across various sectors, including localizing industries, digitalization, and the use of artificial intelligence in production, as well as pharmaceutical companies and automobile manufacturing,” Bekele-Thomas stated.
To bridge the implementation gap, Bekele-Thomas called for the mobilization of Africa’s savings. She pointed out that sovereign wealth funds and pension funds currently hold nearly $1.7 trillion, yet less than 2% is invested in African infrastructure. Increasing this investment share to 5% could potentially unlock over $50 billion for vital cross-border projects.
“Between last year and now, you have already contributed $526 million, and further amounts will come in from some of you before the end of this year. That is ownership. It makes ownership tangible,” Bekele-Thomas added, emphasizing the importance of local investment.
AUDA-NEPAD is prioritizing the technical preparation of infrastructure projects under its Programme for Infrastructure Development in Africa. This program currently encompasses 69 active regional projects, which are set to drive integration and growth through improvements in transport corridors and energy infrastructure. By aligning efforts among governments, investors, and blended finance, AUDA-NEPAD aims to accelerate the implementation of these critical projects.
