How To Develop Financing For Infrastructure Projects in Africa
IMARC, a leading market research company, forecasts that the African construction market as a whole is expected to register a compound annual growth rate (CAGR) of 6.4% during 2019 – 2024. The East Africa region has had the largest number of recorded projects with 139 projects in 2018 alone.
However, with the devastating effects of COVID-19 on African economies as a whole and the East African construction and infrastructure Industry in particular, we’ve witnessed a tightening of fiscal capacity by many governments in the region, thereby exacerbating the inherent risks associated with project financing.
AFDB estimates Africa’s infrastructure deficit to be about $108 billion, leading to restrictive productivity in the future for Africa.
Considering the impressive achievements and the threatening challenges that appear to present themselves hand-in-hand, Africa Business Venture hosted an online panel discussion as part of the East Africa Construction Industry Round Table series, to discuss available funding solutions for project owners and how the region could attract more projects.
An intresting Roundtable
On this panel was a very interesting group with diverse experience in project finance and financing in Africa, where they shared practical insights on how to navigate the risks associated with assets
The discussion explored:
- The impact of COVID-19 on the flow of project finance to support the construction industry in the next couple of years
- Financing models most appropriate to support clients seeking finance for their projects
- The role of the African continental free trade agreement in bridging the infrastructure financing gap and facilitating increased regional trade.
And much more
Watch the full event including live Q&A with the panel below: