Over $143bn investment interest mobilised under AIF in the last 4 years

The President of the African Development Bank, Akunwumi Adesina, recently shared some impressive numbers from the last four years of the Africa Investment Forum. Speaking with CNBC Africa at the conclusion of the event in Marrakech, Morocco, Adesina revealed that over $143 billion in investment interest had been mobilised during this period. The success stories included projects such as the $24 billion Ducafide natural gas project in Mozambique, as well as investments in sectors like fertilisers and critical energy corridors. These initiatives are set to transform Africa's infrastructure, manufacturing capabilities, and energy landscape. One of the key themes that emerged from Adesina's interview was the importance of value addition and industrialisation in Africa. He emphasised the need for the continent to move away from simply exporting raw commodities and instead focus on adding value to its resources. Adesina highlighted the emerging electric vehicle (EV) market, which is projected to reach $57 trillion by 2050. Africa holds significant reserves of minerals essential for EV production, positioning the continent as a crucial player in the global market. To capitalise on this opportunity, the AfDB and its partners are investing in the green metal industry, aiming to establish Africa as a hub for manufacturing lithium-ion batteries and other key components. Another key point raised by Adesina was the low contribution of Africa to global manufacturing value added. With only 2.6 percent share in global manufacturing value added and a mere 1 percent of total global manufacturing output, Africa lags behind other regions. However, Adesina expressed optimism about the potential for industrialisation and job creation in Africa. By leveraging partnerships with institutions like AfriExim Bank, Africa 50, and the European Investment Bank, the AfDB is committed to spearheading transformative projects across the continent. In line with efforts to de-risk project preparation and attract investment in green infrastructure, the AfDB launched the Alliance for Green Infrastructure in Africa. This initiative, supported by partners such as Africa 50, aims to provide $500 million for project preparation and development, with a goal of mobilising $10 billion for investment. Projects focused on green metals strategy, net-zero transition, renewable energy, and energy efficiency are expected to take centre stage at upcoming events like COP28. Adesina's vision for Africa's economic future is one of resilience, sustainability, and prosperity. As Africa positions itself as a key player in the global EV market and prioritises industrialisation and infrastructure development, the continent's potential for growth and wealth creation appears promising. By harnessing its natural resources, investing in green technologies, and fostering strategic partnerships, Africa is laying the foundation for a vibrant and competitive economy.