EU External Investment Plan: Progress made so far

The European Investment Bank (EIB) is making significant progress on the External Investment Plan, aimed at boosting investment in Africa. Maria Shaw Barragan, Head of Global Partners at EIB, discussed the advancements of the plan at the 6th EU-Africa Business Forum with CNBC Africa's Chris Bishop. Shaw Barragan highlighted that the legislative approval and strategic planning have set the stage for financial institutions to submit proposals to the European Commission by January. One of the key themes of the plan is to foster partnerships with the private sector to drive investments, particularly in renewable energy and municipal infrastructure. Shaw Barragan emphasized the importance of not only financial support but also capacity building, requiring collaboration with governments and engagement with the private sector. Regarding criticisms that the plan may prioritize high-tech industries that create fewer jobs, Shaw Barragan clarified that industrialization, value addition, and job creation are essential goals. By promoting value chains in agriculture and light industries, the plan seeks to generate millions of jobs to address Africa's demographic growth. Inclusive growth is also a key focus, with dedicated funds for women entrepreneurs and initiatives that prioritize gender equality. Shaw Barragan assured that the plan aims to create quality jobs that benefit all segments of society, emphasizing the important role of women in agriculture value chains. The EIB is committed to sustainable and inclusive growth that uplifts communities and fosters economic development. As financial institutions prepare to present their proposals in January, the European Commission will assess the projects' impact and additionality. The success of the External Investment Plan hinges on the collaboration between governments, financial institutions, and the private sector to drive investments that spur job creation, promote industrialization, and ensure inclusive growth across Africa.