The annual financing gap for infrastructure in Africa ranges between $53 billion and $96 billion, a figure that was exacerbated by the COVID-19 pandemic. Fostering innovative financing solutions that tap into the vast domestic savings managed by African institutional investors, estimated at $1.85 trillion, can provide a sustainable funding source to bridge the continuing financing gap for project development. How can African nations harness domestic resource mobilization, particularly through catalytic capital, to finance essential projects and ensure the successful implementation of Agenda 2063?
Key Points:
- Facilitating collaboration: How can innovative approaches support governments in accelerating transactions?
- Counting on catalytic capital: What are the opportunities to stimulate private sector investment?
- Working together well: how can innovative financial instruments address the existing barriers within Africa’s current financing architecture?