Latest news with #AfricanDevelopmentBank
Gulf Today
5 hours ago
- Business
- Gulf Today
African leaders' call to meet energy needs
At the Africa Energy Forum 2025 which opened at Cape Town in South Africa, there was a sense of urgency as ministers from many of the countries talked of the need to build infrastructure, integrate the grid and go for renewable energy to reach power to 600 million on the continent who do not have access to it. South Africa's Minister for Electricity Dr. Kgosientsho Ramokgopa called out saying, 'Africa can no longer be seen as a passive recipient of imported solutions. We have the natural resources. The human capital, and the ambition to drive our own energy transition.' African Development Bank President Dr. Akinwumi Adesina spelled the magnitude of the energy challenge that Africa faces. He said, 'Africa requires $90 billion in annual energy investment through 2030. This is achievable if the right partnerships, de-risk investment, and focus on sustainable, inclusive models.' By the end of June 17, EnergyNet managing director Simon Gosling, said, 'This forum is not about promises – it's about delivery. Africa stands at a historic crossroads. What we decide to do together in the days ahead will shape our energy future for generations.' The meetings will continue to achieve their goal. For the year and more, African leaders have been speaking clearly, loudly and even differently from other parts of the world. The African governments and leaders are determined to chart an independent path for the African continent. They have realized that depending on the advanced economies of Europe, America and Asia will not help Africa to solve its problems. The African leaders are now thinking differently and loudly. They realize that Africa has to build its own infrastructure, and that it has to be done through cooperation among different African countries, cutting across national and regional boundaries. It is this emphasis on pan-African approach that strikes the perfect, positive note. Given the political volatility prevailing in many parts of Africa, it might seem unrealistic to talk about pan-African approach. But the truth of the matter is that no country, including the relatively well-off and politically strong South Africa, cannot hope to achieve the economic goals that only a united Africa can hope to achieve. The experiment of European Union (EU) seemed a vague dream when it set out on a small scale in 1956, but it had been built brick by brick by sensible European leaders who were wise enough to realise that national rivalries are of not much use in the face of a modern economy. It will be argued and rightly too that to build something akin to the European Union in Africa would take decades. But it is an important fact that some of the African leaders are showing the statesmanship needed to build something for the future. It is going to be a hard struggle for Africa and its leaders. But what will work for them is the fact that their eyes are set on the common goal of strengthening Africa on the energy front. What is important is the recognition of the goal that Africa's needs can be met only at the continental level. Africa is resource rich continent, and its leaders have recognized that European powers, and now the new market agent of Asia, China, have looked to Africa to tap the natural resources which the African people have not tapped for themselves. They now seem to recognize the fact they Africans will have to help themselves. Can the Africans raise the huge amounts they need to build the infrastructure? They have to because they have no option. African leaders have accepted the fact that they need to plan and act together.
Al-Ahram Weekly
6 hours ago
- Business
- Al-Ahram Weekly
Veteran insider George Elombi appointed Afreximbank next president - Economy
Elombi's selection was finalized at the 32nd Afreximbank Group Annual Meetings and associated events, culminating in the formal annual General Meeting of Shareholders on Saturday, 28 June 2025, in Abuja, Nigeria. Elombi, a Cameroonian national in his early 60s, is set to assume the role in September 2025, bringing nearly three decades of experience to the position. He succeeds Professor Benedict Oramah, who has served as president since 2015. Elombi joined Afreximbank in 1996 as a legal officer and subsequently advanced through the ranks, most recently becoming the executive vice president (corporate governance and legal services). His previous roles also include director, executive secretary, deputy director, legal services executive secretary, chief legal officer, and senior legal officer. Before his tenure at Afreximbank, he taught law at the University of Hull in the United Kingdom. Afreximbank is a pan-African multilateral financial institution established in 1993 under the auspices of the African Development Bank. Headquartered in Cairo, Egypt, its core mandate is to finance and promote intra- and extra-African trade, thereby stimulating economic expansion and diversification across the continent. The bank plays a crucial role in addressing trade finance gaps, facilitating industrialization, and supporting the implementation of key initiatives such as the African Continental Free Trade Area (AfCFTA). Its diverse shareholders include African governments, central banks, regional and sub-regional institutions, as well as African and non-African public and private investors. As of December 2024, Afreximbank's total assets and contingencies stood at over $40.1 billion, with shareholder funds amounting to $7.2 billion. The appointment of a new president is a pivotal moment for Afreximbank, given its significant influence on Africa's economic development. Elombi's extensive tenure within the bank and his pivotal role in establishing its group structure and subsidiaries suggest a continuation of the institution's strategic direction. His leadership as chair of the Emergency Response Committee during the COVID-19 crisis, during which he mobilized over $2 billion for vaccine acquisition and deployment, highlights his capacity for impactful action in challenging times. Elombi has the ambitious target of growing Afreximbank into a $250 billion bank within the next decade, a goal articulated by his predecessor and accepted by the shareholders. Achieving this will further the bank's mission of transforming Africa's trade landscape, particularly as the continent navigates global economic shifts and seeks to bolster intra-African trade through initiatives like the AfCFTA. The institution's ability to provide trade, project financing, guarantees, and advisory services directly impacts the continent's capacity to industrialize, diversify its exports, and build resilience against external shocks. In his acceptance speech, Elombi underscored his commitment to the bank's mission. 'I have worked alongside remarkable colleagues and extraordinary leaders to help shape this institution's vision, its mandate, as well as its growth. As we look to the future, I see Afreximbank as a force for industrializing Africa and for regaining the dignity of Africans wherever they are. I will work to preserve this important asset,' he said. Elombi holds a master's degree in Law and a PhD in Commercial Arbitration from the London School of Economics, University of London, as well as a master's degree in Law from the University of Yaoundé. His appointment followed a rigorous global search process initiated in January 2025, culminating in a recommendation from the board of directors to the General Meeting of Shareholders for final approval. Under the Afreximbank Charter, a president serves a five-year term, renewable once.
Eyewitness News
a day ago
- Business
- Eyewitness News
Reimagining Africa's economic power through integration and innovation
Kopano Mohlala 27 June 2025 | 13:15 The question is no longer whether the continent has potential, but how that potential can be turned into wealth for Africans. Acclaimed journalist Crystal Orderson, who specialises in economic and political affairs concerning the African continent, joins 702's Bongani Bingwa to discuss the strategies, forces, and changes that are transforming Africa's place in the world economy. With a young, growing population and untapped resources, Africa holds structural advantages that many global economies are looking toward. With 1.3 billion inhabitants and a combined GDP of more than $3 trillion, the continent is establishing itself as a significant force in a world shaken by geopolitical unrest. "We have critical minerals. We have a youth population. And despite global uncertainties, African economies are finding ways to move forward." - Crystal Orderson, Journalist The African Continental Free Trade Area (AfCFTA) aims to increase intra-African trade, support local production, and unite disparate markets into a single trading bloc. Akinwumi Adesina, outgoing President of the African Development Bank, asserts that to achieve scaled growth, Africa must "produce local, buy local." Remittances, which are frequently undervalued, are now a vital component of economic stability. In 2024, over $100 billion was sent home by Africans living overseas, significantly surpassing traditional donor aid to the continent. "A big thing is Africa's remittances. There's really a sense Ubuntu when it comes to remittances, and for many Africans, it is a lifeline, but also it then creates that extra money to start the business…" - Crystal Orderson, Journalist Meanwhile, foreign direct investment overtook traditional donor aid in 2023, reaching $52 billion. This momentum is being harnessed by countries like Ghana and Ivory Coast to enhance agro-processing and reduce their dependence on food imports. In 2024, Ghana's "Planting for Food and Jobs" programme alone contributed to a 30% decrease in food imports. African leaders have now approved the African Financial Stability Mechanism, a pioneering initiative led by the African Development Bank, to reduce reliance on external financial systems. The aim is to boost resilience. According to Orderson, the fund will assist with debt management and serve as a buffer during liquidity crises. Africa has only recently established its own financial safety net, unlike regions such as Europe or Asia. The facility will feature its own credit rating agency, enabling nations to access capital markets on their own terms. Preliminary estimates suggest that debt servicing costs for African countries could be reduced by $20 billion. "This facility will give African countries that financial cushion, because we don't have it, unlike Europe or Asia, who have that kind of mechanism in place." - Crystal Orderson, Journalist The story of Africa is changing. A new economic chapter is emerging, marked by financial integration, the expansion of the private sector, the strategic use of remittances, and audacious continental policies. "We learn lessons from the past, but it's about how we add value to all of this. As the world changes, as geopolitics shift, and everyone looks to the continent again." - Crystal Orderson, Journalist
The Citizen
3 days ago
- Business
- The Citizen
African cities need fiscal power to survive rapid urbanisation
In terms of urbanisation, what works in London or Washington cannot be transplanted to African cities like Maputo or Lusaka. Africa is urbanising rapidly. According to Africa's Urbanisation Dynamics 2025 – an Organisation for Economic Co-operation and Development report – cities will house 1.4 billion people by 2050 – twice today's number. But this growth is happening in cities that lack the financial power to shape their own futures. Most African cities struggle to raise revenue, borrow money or spend capital at scale. They depend on national governments for funding and long-term planning and are often stuck waiting for budget limited allocations. This has real consequences. Cities struggle to build the roads, housing, power, sanitation or public transport their growing populations need. Climate change makes this worse. Flooding, drought, heatwaves and other climate shocks are hitting cities harder and more often, damaging infrastructure and draining already scarce resources. Cities must now build infrastructure that is not only bigger, but also more resilient and climate-smart. Yet they lack the tools to act, even when the need is urgent. The Urban 20 (U20) brings together mayors from major G20 cities to inform the discussions of national leaders at the G20 Summit, to be held in Johannesburg in November. The recent African Mayors' Assembly in Tshwane – held under the Urban 20 banner and hosted for the first time on African soil – crystallised this challenge into a single question: how do we finance the infrastructure that 1.4 billion urban Africans will need when our cities lack the basic authority to raise and deploy capital? Some cities, such as Johannesburg and Nairobi, have working systems, but they're stretched. Others are building from scratch. Across the continent, the scale of need is vast. ALSO READ: Multi-billion Limpopo mega-project has ground to a halt According to the African Development Bank, Africa needs $130 billion (about R2.2 trillion) to $170 billion annually for infrastructure. However, international lenders typically require three things before they finance city projects: steady revenue streams, a proven ability to repay loans and established institutions. Most African cities don't meet these criteria, creating a Catch-22 situation: they need infrastructure to generate revenue, but need revenue to finance infrastructure. That's why we're pleased that leaders at U20 met to craft an African G20 strategy that addresses burning issues and is built on lived realities, not Western blueprints. At the heart of the discussions was one recurring theme: devolution of fiscal power. In simple terms, this means giving cities more control over their own money. Local governments across Africa are stuck in outdated, centralised funding systems. National governments still control the purse strings. Cities must wait for budget allocations, which limits their ability to plan, borrow or build at the pace their people need. This creates a major bottleneck. Without fiscal authority, cities can't enter financing partnerships, tap capital markets or respond to urgent infrastructure demands. A collective call emerged from the assembly, voiced in a letter signed by dozens of mayors and directed at African finance ministers: Unshackle us. Give cities real fiscal authority – the power to raise, manage and spend revenue, access capital markets and forge financing partnerships. Without this, talk of climate finance and urban resilience is just that – talk. ALSO READ: Deputy Minister warns low-income countries will be hit hardest by geopolitical tensions African cities also need new financial models grounded in reality, not copy-pasted solutions from Europe or North America. What works in London or Washington cannot simply be transplanted to Maputo or Lusaka. Our models must factor in informal development, youth unemployment, weak revenue bases and uneven infrastructure legacies. At Ntiyiso Consulting Group, we have seen what works. Cities that build, digitise revenue collection and improve service delivery can unlock local capital. Municipal bonds, blended finance and public-private partnerships are possible if cities are empowered to plan and account. African cities also need an 'Urban African Union' of sorts – a regional coordination mechanism that allows cities to learn from each other's innovations and speak with a collective voice to international partners. The financing gap is too large for individual cities to bridge alone, but collective action could unlock new opportunities. The U20 Assembly was significant because it articulated a new approach to African urban development. Cities that control their fiscal destiny can plan for long-term growth. The next phase requires specific policy changes: constitutional amendments that guarantee municipal fiscal authority. We need regional frameworks that support cross-border collaboration. And we need international partnerships that strengthen local capacity rather than bypass it. African cities are not broken versions of global West municipalities – they are different economic entities that need different tools. The U20 summit began articulating what those tools might look like. The question now is whether African governments have the political will to provide them. By 2050, the success or failure of African cities will determine the trajectory of the global economy. Getting urban financing right is a global necessity. NOW READ: Africa Food Show: Tapping into the potential of the continent's food and beverage market
The Star
3 days ago
- Politics
- The Star
Beyond drums and dances: reclaiming Pan-African youth leadership in the digital age
Maha Jouini | Updated 4 days ago Africa is the youngest continent on earth, with over 70% of its population under the age of 30 (African Development Bank, 2021). Yet this demographic advantage—often celebrated with ceremonial fanfare during annual Youth Month observances — remains largely untapped. Behind the ritualistic drumbeats and cultural performances that typically mark these occasions lies a stark reality: across the continent, youth — especially young women and rural girls — face systemic marginalisation that restricts their access to education, political influence, and economic opportunity. As we reflect during Youth Month, this is not merely a moment for celebration but a clarion call to dismantle exclusion and build inclusive futures grounded in authentic Pan-African values: solidarity, equity, innovation, and self-determination. The time has come to move beyond performative acknowledgement toward transformative action. Cameroon's ratification of major international conventions on gender equality — including the Convention on the Elimination of All Forms of Discrimination Against Women (CEDAW) — has not prevented deep inequalities from persisting, particularly in the North, Adamaoua, and Far North regions. These areas are marked by enduring patriarchal norms that place minimal value on girls' education. As documented by Fadimatou Sali (2022), pervasive stereotypes — including beliefs that educated girls become unmarriageable — systematically drive early school dropouts, child marriage, and lifelong economic dependence. This exclusion transcends gender issues; it represents a fundamental development crisis that undermines the region's entire economic potential. When half the population is systematically excluded from education and formal economic participation, entire communities suffer the consequences. Urban youth across the continent are writing a different narrative entirely. Digital connectivity and cross-border solidarity networks have enabled them to organise sophisticated resistance movements against authoritarianism, inequality, and systemic exclusion. Social media platforms, encrypted messaging apps, and online organising tools have democratised access to information and coordination capabilities that previous generations could only dream of. As explored by Luntumbue and Kupper (2023), movements like Y'en a Marre (Senegal), Le Balai Citoyen (Burkina Faso), and Filimbi (Democratic Republic of Congo) demonstrate that contemporary youth are far from apolitical — they have simply rejected the hollow promises and corrupt practices of traditional political establishments. These digitally-savvy activists leverage Twitter campaigns, viral videos, and WhatsApp networks to mobilise thousands, often bypassing traditional media gatekeepers entirely. These movements represent more than protest collectives; they embody a fundamental civic transformation. Their digital fluency enables them to document police brutality in real-time, fact-check government propaganda instantly, and coordinate peaceful demonstrations across multiple cities simultaneously — capabilities that fundamentally alter the power dynamics between citizens and states. A comprehensive 2022 report by International Alert, extensively covered in La Presse de Tunisie, reveals how youth in Tunisia's densely populated neighbourhoods — including Kabaria (Tunis), Kasserine Nord, and Tataouine Nord — confront a development model designed to exclude them. Despite elaborate rhetoric about youth inclusion and numerous dialogue forums, actual public policy implementation has systematically failed to address their fundamental social needs, fostering widespread despair, alienation, and escalating violence. This failure, characterised by researchers as a fundamentally punitive development approach, has contributed to alarming rates of depression and social aggression among young people, with devastating implications for mental health and community cohesion. Youth interviewed for the study expressed profound feelings of state betrayal, citing persistent unemployment, inadequate healthcare access, substandard educational opportunities, and pervasive social stigmatisation. The study reveals how this systematic marginalisation creates a destructive cycle: exclusion breeds frustration, frustration manifests as delinquency and risky behaviour, which then leads to youth incarceration without meaningful rehabilitation programs. Prisons become warehouses of despair rather than spaces for social reintegration, perpetuating rather than breaking cycles of marginalisation. What distinguishes this generation of African youth is their intuitive mastery of digital technologies as tools for social transformation. From organising flash protests through encrypted apps to creating alternative media platforms that bypass state censorship, young Africans are leveraging technology to reclaim agency over their narratives and futures. In countries with restrictive media environments, youth have created underground networks of citizen journalists who document and disseminate information about government corruption, police brutality, and social injustices. Blockchain-based systems enable secure communication and even alternative economic systems that operate beyond state control. This digital fluency represents a fundamental shift in power dynamics. Previous generations required access to printing presses, radio stations, or television networks to reach mass audiences. Today's youth can livestream events to thousands, create viral content that reaches millions, and coordinate international solidarity campaigns—all from smartphones that cost less than a month's minimum wage. Pan-African Lessons: From Margins to Centre From the systematically silenced girls of northern Cameroon to the digitally mobilised youth activists in Kinshasa and Ouagadougou, and the economically abandoned youth of Tunisia's marginalised neighbourhoods, a clear pattern emerges: Africa's sustainable progress depends entirely on its youth receiving genuine inclusion, not tokenistic representation. The African Youth Charter (2006) formally recognises young people as primary drivers of peace, transformation, and sustainable development. However, this recognition must translate into concrete structural inclusion with measurable outcomes and accountability mechanisms. Educational Revolution : Educational systems across the continent require fundamental restructuring to dismantle gendered and socioeconomic barriers while preparing all youth for digital and ecological transitions. This means investing in digital literacy programmes, STEM education for girls, and vocational training aligned with emerging green economy opportunities. Political Integration : Youth must gain guaranteed political representation, not as symbolic tokens but as full decision-makers with real power over budgets, policies, and institutional reforms. This requires constitutional amendments in many countries to lower age requirements for elected office and establish youth quota systems. Economic Empowerment : Governments and development partners must invest substantially in youth-led entrepreneurship ecosystems, including startup incubators, digital payment systems, and micro-finance programs specifically designed for young entrepreneurs. Special emphasis should be placed on supporting young women entrepreneurs and rural youth. Intergenerational Dialogue : Creating authentic dialogue platforms rooted in Ubuntu philosophy and inclusive governance principles requires moving beyond ceremonial consultations toward substantive power-sharing arrangements between generations. Mental Health Infrastructure : Expanding access to mental health services and community-based support systems in underserved urban areas must become a development priority, recognising that psychological well-being underpins all other forms of empowerment. Digital Rights Protection : As youth increasingly operate in digital spaces, protecting their rights to privacy, free expression, and digital security becomes essential for maintaining civic engagement and democratic participation. The question facing African leaders today is no longer whether the continent's youth are prepared for leadership — they are already leading transformative movements, shaping continental narratives, and building innovative solutions despite facing severe resource constraints and systematic exclusion. The real question is whether existing institutions, governments, and traditional leaders possess the wisdom and courage to follow their lead rather than obstruct their progress. Maha Jouini is driving ethical AI and responsible data practices to empower Francophone Africa, champion Pan-African values, and foster inclusive innovation.
