english.ahram.org.eg
Global financial institutions commit $80 bln to support Africa’s sustainable recovery
It is the first time the G7 DFIs have come together to make a collective partnership commitment to the African continent
Doaa A.Moneim , Monday 14 Jun 2021
Tweet
The G7 DFIs, the International Finance Corporation (IFC), the private sector arm of the African Development Bank, the European Bank for Reconstruction and Development (EBRD), and the European Investment Bank (EIB) announced on Monday their commitment to invest $80 billion in the private sector over the next five years to support sustainable economic recovery and growth in Africa.
The G7 DFI group consists of CDC, Proparco (France), JICA and JBIC (Japan), DFC (US), FinDev Canada, DEG (Germany), and CDP (Italy).
The new investment comes amid the ongoing COVID-19 crisis that has caused a severe global economic and health crisis, aiming at boosting the long-term development objectives of African economies that have been negatively impacted by the crisis.
It is the first time the G7 DFIs have come together to make a collective partnership commitment to the African continent.
Recently, the International Monetary Fund (IMF) has estimated that sub-Saharan Africa needs additional financing of about $425 billion through 2025 to help strengthen the pandemic response spending and reduce poverty in the continent.
“This investment will create jobs, boost economic growth, help tackle climate change and fight poverty. It comes at a crucial time as the continent rebuilds its economies, [which were] severely impacted by COVID-19,” said UK Minister for Africa James Duddridge.
Nick O’Donohoe, the CEO of CDC Group, noted that the high-quality capital that DFIs provide is urgently needed if African economies are to start to rebuild quickly from the impact of the pandemic.
“CDC is committed to building long term investment partnerships in Africa that fuel sustainable private sector growth in support of the UN’s sustainable development goals (SDGs),” he added.
Solomon Quaynor — the vice president of the AfDB for private sector, infrastructure, and industrialisation — said that the bank’s priority is to create jobs particularly for youth and women, with a focus on industrialising Africa, underpinned by the African Continental Free Trade Area.
“Given the gap between the IMF estimates and what this partnership is committing to, we will seek to crowd-in African development partners, as well as African savings from SWFs, pensions, and insurance pools, estimated to have US$1.8 trillion as assets under management (AUM),” Quaynor explained.
The EBRD’s Managing Director for Southern and Eastern Mediterranean, Heike Harmgart, expounded that the bank has invested over €11.5 billion in only 9 years in Egypt, Morocco, and Tunisia in order to boost the private sector, developing green sustainable infrastructure and promoting youth and women participation in the economy.
“We will pursue efforts to expand private sector investment opportunities in the region in close cooperation with other development actors,” she added.
Each DFI has its own investment criteria, which is aligned to an assessment of need to achieve development impact across a range of sectors.
DFIs play an important role in helping to build markets, mitigate risk, and pave the way for other investors to enter new markets.
Search Keywords:
Africa-
IMF-
G7-
EBRD-
Short link:
 
Recommended by
Latest
11:30 Father builds exoskeleton to help wheelchair-bound son walk
11:03 Egypt reports 31 new coronavirus cases, 4 deaths on Tuesday
10:06 Quarantined Olympic athlete says lack of fresh air 'inhuman'
10:01 Gymnastics: Olympic champ Biles withdraws from all-around competition
09:59 North, South Korea in talks over summit, reopening liaison office
09:10 Handball: Egypt beat Japan to record 3rd Group B win in Olympics
05:02 Rowing: Aussies sweep the fours as records fall in Tokyo
04:31 Titmus wins again at Tokyo, Ledecky doesn't even medal
22:02 Former Zamalek boss Micho named as Uganda coach for second stint
21:57 US stepping up airstrikes this week to support Afghan forces
21:38 South, North Korea reopen hotlines as leaders seek to rebuild ties
21:16 Man Utd agree deal to sign Real Madrid's Varane
20:49 Facing an uphill task, Egypt's Mostafa Mohamed to start in CL game against Eindhoven
20:13 Boko Haram Cameroon attack kills 5 soldiers, civilian: Defence ministry
19:43 Australia coach confident ahead of Egypt's clash in Tokyo Olympics
19:38 Two small quakes recorded in Red Sea and Gulf of Suez on Tuesday
18:31 Zamalek's target Malango joins UAE side Al-Sharjah for three years
18:19 1 killed, 4 missing in German chemical blast; 31 injured
17:26 Biden’s 1st visit to intel agency to contrast with Trump’s
17:26 UN says its food aid runs out this week in Ethiopia's Tigray
16:58 Egypt’s first monorail train set for administrative capital arrives in Alexandria.....
16:44 Gamal El-Helw International Circus takes performances to Marsa Matrouh
16:42 French city of Nice wins UNESCO world heritage status
16:41 Thousands of Ethiopians cross into Sudan fleeing conflict
16:10 Egypt begins demolition of leaning building in coastal city of Alexandria
16:09 Flood-hit Belgians struggle to get over 'nightmares'
15:57 PHOTO GALLERY: Highlights of Egypt's Olympic participation on Tuesday
15:17 Iran hits new COVID infection record for 2nd straight day
14:40 1 person dead, 4 still missing in German chemical explosion
13:52 Egypt to host permanent African Organisation for Housing Cooperatives’ HQ
Readers Picks
Most Viewed
1. Tokyo 2020 Day 5 summary: Table Tennis player Assar reaches quarterfinals, swimmers Khalafallah and El-Kamash fail to proceed
2. Tokyo 2020 Day 6 summary: Egypt's Sabre team finishes fifth, boxer Orabi eliminated
3. Australia coach confident ahead of Egypt's clash in Tokyo Olympics
4. Titmus wins again at Tokyo, Ledecky doesn't even medal
5. Ethiopia predicts possible floods in downstream countries due to heavy rainfall
6. Table Tennis: Assar beats Chuang, becomes first ever Egyptian to reach quarter finals
7. Handball: Egypt beat Japan to record 3rd Group B win in Olympics
8. Preview: Egypt face do-or-die clash against Australia in Olympic Games
Ahram online
© 2010 Ahram Online.
Find us on Google+Find us on facebookFind us on twitter
HomeEgyptBusinessOpinionWorldArts & CultureTokyo 2020SportsLife & StyleHeritageBooksAnalysisFolkMultimedia