Investors for Resilience
The African Union Development Agency (AUDA)-NEPAD Heads of State and Government Orientation Committee (HSGOC) endorsed an initiative to facilitate institutional investor and private sector participation and investment in essential AUDA-NEPAD and African infrastructure projects at the Dakar Financing Summit, through the creation of the Continental Business Network (CBN).
The CBN is dedicated to increasing the participation of African institutional investors and the private sector in Programme for Infrastructure Development in Africa (PIDA) and AU infrastructure and industrial investment projects.
This will be accomplished by working with domestic pension and sovereign wealth funds, project developers, governments and infrastructure investors and financiers; to increase the participation of the African and international institutional investment community and private sector in the policy and project design, construction and maintenance of Africa’s infrastructure. The CBN will also develop and advise on bringing bankable PIDA and AU supported infrastructure projects to financial close.
What Does the CBN Do?
- Serves as a key institutional investor and private sector engagement platform for AUDA-NEPAD and the African Union Commission (AUC) and Heads of State and Governments on PIDA and infrastructure projects.
- Builds capacity in institutional investors and private sector developers, so that they can more successfully bid for infrastructure related contracts and transactions.
- Works with the African public sector to help it engage the institutional investment community and the private sector, through best-practice and transparent procurement processes, and well-defined policies, including unsolicited bids.
- De-risks, promotes and publicizes African infrastructure as an investable asset class.
- Develops de-risking initiatives and instruments to crowd in private capital to African infrastructure, and unblocks perceived bottlenecks caused by poor information flow.
- Facilitates co-investment partnerships with the domestic and global institutional infrastructure investment community.
- Advocates for the African institutional infrastructure investment community and project developers.
Trade enabling infrastructure will be a key focus of the CBN, with the goal being to match and support domestic and inward manufacturing investment projects that increase trade, Africa’s competitiveness, job creation and projects that support the implementation and goals of the African Continental Free Trade Area (AfCFTA). AUDA’s agenda on sustainable development and energy, Move Africa and Grow Africa are directly relevant to the work of the CBN.
By building capacity, the CBN will enable African institutional investors and the private sector to respond to the improved investment climate for infrastructure, energy, manufacturing and industrial AfCFTA supportive projects. It will serve as a key private capital engagement platform for AUDA-NEPAD and the AUC to engage with institutional investors and the private sector on PIDA, infrastructure investments and the AfCFTA projects.