Development Banks Announce USD 80 Billion in Commitments for Africa’s Private Sector

The International Finance Corporation (IFC), the African Development Bank (AfDB), the European Bank for Reconstruction and Development (EBRD) and the European Investment Bank (EIB) announced on June 13, 2021 on the sidelines of the summit of the G7 held in the United Kingdom, their commitment to mobilize $ 80 billion for the benefit of the African private sector over the next 5 years. The aim is to boost the economic recovery on the continent and lay the foundations for sustainable growth.

By injecting these funds into the African private sector, these financial institutions are supported in long-term development through job creation and improved growth.

“The institution is aware that the private sector will play a major role in financing Africa’s future by creating millions of jobs, essential to ensure sustained economic growth and poverty reduction,” said IFC Managing Director Makhtar Diop.

As a reminder, the African economy has been severely affected by the Covid-19 pandemic. In sub-Saharan Africa, growth is expected to reach 2.8% in 2021, before accelerating to 3.3% in 2022 according to the latest World Bank forecasts. This, after a contraction of 2.4% in 2020.

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