Hafez Ghanem details World Bank’s Africa interventions to cope with Ukraine conflict

As global dynamics continue to evolve, the impact of the Ukraine conflict on regions like Africa is becoming increasingly apparent. Hafez Ghanem, Vice President of the World Bank for Eastern and Southern Africa, shared insights on how the ongoing war is affecting the continent, particularly in light of existing challenges such as the COVID-19 pandemic and climate change. Ghanem emphasized the significant repercussions of the conflict for African countries, especially as many are major importers of oil. With the war leading to higher fuel and food prices due to disruptions in exports from Russia and Ukraine, the economic strain on the region has been palpable. Even mineral-exporting nations like South Africa and Botswana have experienced inflation and increased transportation and food costs. In response to these challenges, Ghanem detailed the World Bank's interventions to support African countries in coping with the crisis. He highlighted three key areas of focus: food security, social protection schemes, and government budget support. The organization is working on projects across the continent to ensure access to food, enhance agricultural production, and strengthen the entire food value chain. Additionally, efforts are being made to safeguard social protection programs for the most vulnerable populations and provide assistance to governments facing budget constraints. Moreover, Ghanem addressed the issue of transitioning to green energy solutions in the face of climate change. While acknowledging the dependence on fossil fuels in some African countries, he stressed the importance of investing in renewable energy sources like solar power. By embracing new technologies and promoting clean energy alternatives, African nations can achieve sustainable development while addressing both energy access and environmental challenges. Regarding the Africa Continental Free Trade Area (AfCFTA), Ghanem expressed optimism about the potential economic benefits of the agreement. He underscored the importance of regional connectivity and infrastructure development to facilitate trade among member states. The World Bank is actively supporting initiatives to enhance border governance, improve transportation links, and promote economic integration within the continent. In his recent discussions with authorities in South Africa and Botswana, Ghanem highlighted the shared focus on stimulating economic growth and job creation, particularly for young people. The meetings addressed strategies to enhance infrastructure, promote regulatory reforms, and strengthen human capital through education and skills development. By investing in key sectors like digital technology and fostering a conducive business environment, Ghanem emphasized the World Bank's commitment to supporting Africa's sustainable development and resilience amid challenging global circumstances. As African countries navigate the complex economic landscape shaped by the Ukraine conflict and other external shocks, collaborative efforts between governments, international organizations, and the private sector will be crucial in mitigating risks, promoting inclusive growth, and building a more resilient future for the continent.