Challenges in Financing Africa's Infrastructure Needs

TLDR

• Established in 2014, Africa50 accelerates the development and financing of bankable infrastructure projects while mobilising private sector investment to complement public resources in support of sustainable economic.
• As one of the principal architects of Africa50, Dr Kaberuka said the institution was conceived at a time when Africa’s infrastructure needs had outgrown the financing capacity of traditional development finance.
• Dr Kaberuka said Africa50 was never intended to become just another financing institution but a credible investment platform capable of attracting long-term private capital into commercially viable infrastructure.
• He stressed that de-risking investments remains one of Africa50’s most important functions, enabling private capital to participate in infrastructure projects that might otherwise struggle to secure financing.
• Dr Kaberuka also challenged the perception that Africa’s estimated 4 trillion US dollars in domestic savings could easily finance infrastructure development, explaining that much of the capital is held by pension funds.