Reimagining investments in transport across Africa

Africa's development hinges significantly on a robust and dependable road network. However, the region's transport infrastructure, particularly roads and bridges, faces a looming threat from the impacts of climate change. In a recent interview with CNBC Africa, Nicolas Peltier-Thiberge, the Global Director at the World Bank, delved into the crucial importance of building resilience in transport systems to mitigate the effects of ongoing crises such as the COVID-19 pandemic and the conflict in Ukraine. Peltier-Thiberge emphasized that 'resilience' has become the focal point in the transport policy domain. Drawing lessons from recent tumultuous events, including the challenges posed by the pandemic and geopolitical conflicts, he underscored the need to enhance trade patterns, mobility, and supply chains. He outlined three key dimensions of resilience that are vital for the development of sustainable transport infrastructure. The first dimension he highlighted is operational resilience, which involves collaborating with the logistics community to bolster the resilience of systems. Peltier-Thiberge underscored the significance of digitalization, citing the lack of digital platforms like port community systems in many developing countries, including Africa, as a hurdle that needs to be overcome to enhance logistics resilience. Secondly, he discussed financial resilience in the wake of the COVID-19-induced mobility restrictions that strained transport operators worldwide. Public transportation systems, especially in urban centers, faced unprecedented challenges, necessitating the development of financial mechanisms to weather future crises. The third dimension emphasized by Peltier-Thiberge is climate resilience. Given the vulnerability of the developing world to the adverse impacts of climate change, he stressed the critical importance of building infrastructure that can withstand such challenges. This includes implementing robust maintenance practices, constructing climate-resilient infrastructure, and creating redundant logistic networks to enhance overall resilience. In response to queries about financing models for infrastructure projects that won't burden countries with heavy debts, Peltier-Thiberge highlighted the role of public and private financing partnerships. While acknowledging the public good nature of the transport sector, he emphasized the importance of blending public and private financing to fund infrastructure projects effectively. He mentioned innovative financial instruments such as warranties and risk-sharing facilities that can facilitate public-private partnerships and attract private investment. Moreover, Peltier-Thiberge emphasized the untapped potential of climate finance in driving the transformation of the transport sector towards decarbonization. In conclusion, Peltier-Thiberge's insights shed light on the pressing need to prioritize resilience in building transport infrastructure in Africa amid the challenges posed by climate change and other crises. By adopting a multifaceted approach that addresses operational, financial, and climate resilience, countries can fortify their transport systems for a sustainable and prosperous future.