Africa Positioned as World’s Top Investment Destination: AfDB Head at BADEA’s 50th anniversary

Adesina highlighted the resilience of African economies despite challenges such as climate change, geopolitical tensions, global inflation, and rising debt.

African Development Bank Group President Dr. Akinwumi Adesina has emphasized Africa's status as the world's most promising investment destination due to its rich human, land, mineral resources, and cross-border trade potential. Speaking at the 50th anniversary celebration of the Arab Bank for Economic Development in Africa (BADEA) in Riyadh, Adesina outlined several factors making Africa an investment frontier: a young and large population, vast renewable energy potential, abundant arable land, and the African Continental Free Trade Area (AfCFTA), which he described as the largest free-trade zone by number of countries.

Adesina highlighted the resilience of African economies despite challenges such as climate change, geopolitical tensions, global inflation, and rising debt. He noted that over half of African countries achieved higher real GDP growth rates in 2023 compared to 2022, with ten African nations among the fastest-growing economies globally.

Praising BADEA for its commitment to African development, Adesina acknowledged the strong partnership between BADEA and the African Development Bank, which has mobilized $835 million for projects across nine African countries, including investments in agriculture, infrastructure, and renewable energy.

BADEA’s Board Chair, Dr. Fahad Aldossari, recalled the establishment of BADEA by eighteen Arab nations to foster economic cooperation between the Arab and African regions. He emphasized the strategic partnership’s success in encouraging Arab capital participation in Africa’s development through trade and investment support.

Adesina highlighted several projects benefiting from the BADEA-African Development Bank partnership:

In The Gambia, the development of rice value chains to achieve self-sufficiency.

In Senegal, the construction of a 200-kilometer highway between Dakar and Saint-Louis, crucial for tourism and agriculture.

In Madagascar, the 205-megawatt Sahofika Hydropower project, contributing to universal electricity access.

Other projects include irrigation schemes and agro-industrial parks in Ethiopia, support for the Rwanda Development Bank, financing for banks in Nigeria and the West African Development Bank, and the development of the Kandaji multipurpose dam in Niger for energy and irrigation. In Burkina Faso, the Electrification and Power Connection Development Project has provided electricity to 218,000 new households as part of the African Development Bank’s Desert-to-Power initiative, aiming to generate 10,000 megawatts of solar energy for 250 million people across 11 Sahel countries.

The event was attended by dignitaries from the Government of Saudi Arabia, BADEA shareholder countries, and heads of multilateral development finance institutions.