Private sector investment touted as Africa’s next vehicle for growth

Private sector investment in Africa's infrastructure has been identified as a crucial driver for the continent's growth and integration. Nardos Bekele-Thomas, Chief Executive Officer of AUDA-NEPAD, emphasized the importance of bold ventures in the mega infrastructure space to facilitate connectivity and prosperity on the continent. In an interview with CNBC Africa, Bekele-Thomas highlighted the significance of the Intra-African Trade Fair (IATF) as a platform for fostering collaboration and trade facilitation across Africa. Bekele-Thomas stressed the need for people to connect, bringing their talents, goods, and services to the table in order to create a conducive environment for trade expansion. The African Continental Free Trade Area (AfCFTA) was pointed out as a key initiative driving economic growth and regional integration. Addressing the complexities of trade implementation on the continent, Bekele-Thomas underscored the importance of understanding the impact of AfCFTA at the national level and developing strategies to maximize its benefits. One of the foundational pillars for successful trade integration in Africa is infrastructure development. Bekele-Thomas highlighted the critical need for waterways, railways, roads, bridges, and digital connectivity to bolster intra-continental trade flow. Through initiatives like the Programme for Infrastructure Development in Africa (PIDA), AUDA-NEPAD is spearheading 22 vital infrastructure projects, with 10 already at a bankable stage, seeking private sector investment to drive their realization. At the African Development Bank (AfDB)-organized trade fair, AUDA-NEPAD launched the Africa Project Preparation Facility (APPF) aimed at conducting pre-feasibility studies for significant infrastructure projects. Collaborative engagements with key stakeholders, including the private sector, development finance institutions, and investors, are pivotal in advancing infrastructure development across Africa. The expansion of AUDA-NEPAD's mandate in 2018 to become the African Union Development Agency NEPAD signifies a wider scope of impact and coordination in driving development activities on the continent. Bekele-Thomas highlighted the agency's role in streamlining development efforts, enhancing coordination, and mobilizing resources for fundamental programs like infrastructure development. The alignment of stakeholders in designing a comprehensive 10-year implementation plan aims to catalyze sustainable development and realization of the continent's vision. As Africa gears up for a transformative journey towards prosperity and integration, private sector participation in infrastructure development emerges as a key theme. The synergistic efforts of stakeholders, backed by coordinated strategies and foresight planning, are poised to unlock Africa's economic potential and shape a prosperous future for the continent.