PPPs Smoothens Africa’s Financing Infrastructure Development
Despite the perception that Africa is poor, the continent is rich with opportunity and there is enough private sector money to partner with governments and state institutions on the continent to speed up the roll-out of infrastructure and build programmes.
There is greater scope for Africa’s private sector sources of finance to commit to financing infrastructure projects through public-private partnerships (PPP). In previous years, Africa’s private sectors have lagged behind other emerging markets and developing economies where approximately 20 percent of infrastructure expenditure is financed by private sources.
“Infrastructure Africa is all about finding and meeting the right people for the right projects. We specialize in bringing together African government leaders with private sector decision makers to unlock Africa’s next wave of economic growth,” said Liz Hart, Managing Director of Infrastructure Africa. The two day event, taking place at the Sandton Convention Centre in Johannesburg on the 21st and 22nd August, will have dedicated workshops and sessions on financing of infrastructure projects in Africa, with public-private partnerships being part of the debate.
Roads, railways, airports, harbours and ports, renewable and base-load power plants, hospitals, schools, and ICT infrastructure – these are all part of the vast network of $93 billion in infrastructure needed to unlock Africa’s economic growth, according to the World Bank’s estimates. The plans are ready to be implemented, but it’s the financing of the projects that is the most difficult and important preliminary part of the work.
At Infrastructure Africa, African leaders get to share their dreams and visions for the continent’s cities and towns’ infrastructure, and then to act on those visions through identifying funding and forming partnerships to see the process through to completion.
“One of the most important aspects of Africa’s infrastructure programmes is finding the right funding models,” said Hart, “and at Infrastructure Africa, we explore all the financial models and angles for furthering Africa’s infrastructure development. Not only that, but with the right people at the table, we facilitate the forming and building of partnerships that would otherwise not be possible,” concluded Hart.
Infrastructure Africa’s agenda will focus on mobilising financial resources and ensuring revenue sustainability, project bankability, project preparation and due diligence, as well as de-risking infrastructure projects and looking at new investment opportunities.