AfDB announces $20b ‘Africa50Fund’ infrastructure financing plan

Dr Donald Kaberuka - President of AfDB
Dr Donald Kaberuka – President of AfDB

The African Development Bank’s (AfDB) proposed $20 billion innovative vehicle for the financing of Africa’s infrastructure has received endorsement from the Bank’s Board of Governors (BoGs).

The BoGs welcomed the initiative at the just-ended 48th AfDB Annual Meetings in Marrakech, Morocco.

The AfDB named the financing plan ‘Africa50Fund’ and it was in response to the request by African Heads of State to the AfDB to develop innovative financing solutions to address Africa’s infrastructure deficit.

In a communiqué, the BoGs urged the Bank to “complete the process leading to the establishment of the Fund without delay”.

“We concur that this is a big idea whose time has come,” the Governors said.

On May 29, 2013, ghanabusinessnews.com reported that the AfDB was likely to unveil a $20 billion infrastructure vehicle as soon as the Bank’s Board of Governors approves the proposal.

The AfDB President, Dr Donald Kaberuka, promised that the Bank will work on the establishment of the Fund “with all the energy, innovation and urgency” it deserves.

The AfDB’s Chief Infrastructure Economist, Mr Shem Simuyemba at a press briefing said the instrument will be funded largely from African resources.

By Ekow Quandzie back from Marrakech, Morocco

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