The importance of financing the development of much-needed infrastructure in Africa through public-private partnerships and creating a favourable investment climate to help Africa create business, sustainable growth and jobs was highlighted on Wednesday 9 January at the ‘Africa Summit' - a conference organised by the Conservative Group (ECR Group) in the European Parliament.
This topic was discussed during a panel dedicated to the creation of companies and infrastructures, chaired by German MEP Arne Gericke. This theme was also highlighted at the Africa/Europe High Level Forum on the Digital Economy in Vienna in December (see EUROPE 12162).
Liberia's Minister of Finance, Development and Planning, Samuel D. Tweah, stressed that the infrastructure deficit in Africa was due to the development model chosen in recent decades and that a change of vision was needed. "In recent years, it is in telecommunications that the greatest progress has been made, it is an opportunity. We will compensate for the lack of physical infrastructure through telecommunications. All the other problems, companies will be able to solve them, but not the lack of electricity or roads", he said.
Noting that his country's new development plan focuses on electricity and the road network, he mentioned his government's commitment to attracting private investment.
"If it is important to invest in society and health, we need results and infrastructure to follow”. To address the lack of infrastructure, the World Bank estimates investment needs $95 billion per year, and the African Development needs approximately $150-170 billion. "The private sector will not be able to do it alone. Public/private partnerships (PPPs) are needed. The European investment plan, which provides €1.3 billion for this, is an excellent start", he said.
Facilitating business creation through online platforms, reducing the administrative burden and establishing a legal framework is another priority that this minister has highlighted in the hope of being able to count on the support of the EU's external investment plan.
Anusha Rahman Ahmad Khan, former Federal Minister of Information, Technology and Telecommunications of Pakistan, has been a champion of broadband investment. In her country, the broadband penetration rate has increased from less than 3% to more than 45% in less than three years, when she was minister. "The World Bank says that if 10% of the population has broadband, it creates 1.2% growth rate", she said. She suggested that girls' computer education be replicated in Africa through a training programme in coding and cloud computing. “In one year, 150,000 trained girls could earn between €100 and 300 per year by working from home. Their parents understand that the girls would earn more than they did and earn a living.” It is, according to her, an asset in the fight against early marriage. “We need a digital skills program for Africa, an e-learning program”, she said. Anna Masłoń-Oracz, Professor at the Faculty of Economics in Warsaw, said that inclusive business models that bring together business and NGOs and a more connected Africa are a solution for Africa. (Original version in French by Aminata Niang)