Germany's €10mn commitment to boost resilience in horn of Africa

Germany has reiterated its commitment to supporting African countries in building resilience through initiatives such as the Horn of Africa Initiative. The Director General for Africa of the Federal Ministry of Economic Cooperation and Development, Birgit Pickel, emphasized the importance of platforms like the €10 million Horn of Africa Initiative in driving conversations among ministers of finance and stakeholders from across the region. In a recent interview with CNBC Africa, Pickel underscored the significance of discussions around regional integration and infrastructure development in enhancing economic resilience across Africa. She highlighted the dual challenge of attracting investment to the continent while ensuring that funds remain within African economies for much-needed investments in infrastructure and sustainable development goals. Acknowledging the role of finance in sustainable development, Pickel stressed the need for African countries to have access to international markets and retain financial resources within the continent for crucial investments. She also highlighted the importance of governance discussions to address these issues effectively. With a focus on the Horn of Africa region, Pickel discussed Germany's contributions to the initiative and the broader efforts to build resilience in the region. Noting the region's strategic importance, she outlined the challenges faced by countries in the Horn of Africa, including economic constraints, security issues, and the impact of climate change. Germany's engagement in the region reflects its commitment to supporting initiatives that promote regional integration, economic development, and resilience. The Horn of Africa initiative, driven by regional cooperation and ownership, offers a platform for countries to address shared challenges and work towards building a more resilient future. Germany's recent pledge of 10 million euros to the multi-donor trust fund managed by the World Bank underscores its continued support for initiatives focused on resilience, agricultural development, migration, education, and skills development in the region. The trust fund is expected to provide analytical support and prepare projects for funding and implementation, with a focus on benefiting countries in the Horn of Africa region. Pickel emphasized the importance of regional connectivity and infrastructure development as key drivers of economic growth and resilience. While acknowledging the progress made in ongoing projects funded by multilateral banks and countries in the region, she highlighted the need for enhanced project readiness to prevent delays and ensure successful implementation. By facilitating joint planning and financing for regional projects, platforms like the Horn of Africa Initiative play a crucial role in addressing complex challenges and driving sustainable development. Moving forward, efforts to enhance peace and security in the region will be essential to create a conducive environment for investment and economic growth.