New support for African tech start-ups, rural microfinance, agriculture, and businesses in sectors impacted by pandemic
Private sector investment across Africa, essential to tackle the impact of COVID-19 and unlock sustainable growth, will be accelerated by new financing totalling €62m confirmed by the new arm of the European Investment Bank – EIB Global – on Wednesday.
The announcements come ahead of the first in-person African Union – European Union Summit since the start of the COVID-19 pandemic.
The six new partnerships will support targeted private sector investment including high-tech innovation, rural microfinance and business financing from Cameroon to Malawi.
Werner Hoyer, the President of the EIB, the world’s largest international public bank, highlighted the crucial need to scale up cooperation, as part of Team Europe, between African financial institutions and international partners to ensure that Africa’s private sector can drive economic and social growth.
Speaking ahead of his participation in the EU-AU Summit in Brussels, he said: “Ensuring that African startups, entrepreneurs, smallholders and businesses can harness new opportunities, create jobs and expand is essential for Africa, Europe and the world. Over the last six decades the EIB has worked with financial partners across the continent to back Africa’s private sector. Today, as EIB Global, we are unveiling innovative high impact cooperation that will back businesses across the continent, strengthening economic resilience to the impact of COVID-19, and building a better future. The EU-Africa Business Forum ensures that the impact of scaling up sustainable private sector investment across Africa is recognised ahead of the EU-African Union summit.”
Speaking at the forum, Thomas Östros, Vice-President of the EIB, said that these deals are a result of this new Team Europe spirit of cooperation to make every development cent count. As the EU bank, we are committed to supporting entrepreneurs and companies of all sizes across the continent of Africa.
He added: “Partnership is at the heart of our work and even more so since we launched EIB Global, our new specialised arm dedicated to increasing the impact of international partnerships and development finance. Our investments aim to benefit all parts of society: big cities, small villages, vulnerable regions, entrepreneurs, and of course women and girls.”
