Shelter Afrique forges new partnerships at AU

In a bid to deepen investments in Africa through value chain financing, the Alliance for Africa Multilateral Development Institutions has championed a harmonized approach. Shelter Afrique's Managing Director, Thierno Habib Hann, spoke to CNBC Africa's Tabitha Muthoni on the sidelines of the Africa Business Forum in Addis Ababa. The interview focused on the one-year anniversary of the African Multilateral Financial Institutions (AMFI) alliance, comprising ten institutions including Shelter Afrique. The goal is to strengthen collaboration between these financial institutions and the African Union. Hann highlighted the importance of controlling the narrative and capital funding for African development. With a focus on affordable housing and urban infrastructure, Shelter Afrique faces the mammoth task of addressing a 53 million housing unit deficit, requiring $1.3 trillion in investment. Despite the multilateral development banks in Africa holding less than $100 billion, Hann emphasized the need to leverage global funding by fostering an enabling regulatory environment through collaboration with governments and stakeholders. The organization has developed the VIRA framework (Vision, Institutions, Regulations, Actors, and Local Initiatives) to diagnose and improve the housing sector's regulatory landscape across African countries. The ongoing Africa Business Forum underscores the significance of value chain financing in driving economic growth. An integrated approach is crucial to ensure seamless investment flows across various sectors. Hann stressed the need for all actors, including construction material providers, engineers, and financial institutions, to collaborate cohesively along the value chain. In light of sustainability concerns, Shelter Afrique partners with the IFC Edge Certification Program to promote green building practices and renewable energy usage for infrastructure projects. The organization also aligns with ESG principles to assess the sustainability of transactions and projects. Looking ahead, Shelter Afrique is forging new partnerships to bolster development financing across Africa. A recent agreement with ALDA NEPAD aims to finance projects in multiple countries, leveraging the organization's extensive network of 44 member countries. Furthermore, Shelter Afrique has solidified its position as the dedicated housing finance institution for African states, tasked with mobilizing resources for the housing and urban infrastructure sectors. These initiatives reflect the organization's commitment to driving sustainable development and fostering partnerships to address Africa's investment challenges.