AFC and UNIDO Partner to Boost Sustainable Industrialisation and Cotton Sector Development in Africa

A highlight of AFC’s involvement in transforming Africa’s textiles industry is through its investee company ARISE IIP’s Glo-Djigbé Industrial Zone (GDIZ) in Benin Republic.

At the ongoing Aid-for-Trade Global Review hosted at the World Trade Organization (WTO) headquarters in Geneva, Switzerland, Africa Finance Corporation (AFC) has solidified its commitment to sustainable development in Africa through strategic partnerships and initiatives aimed at advancing industrialisation and enhancing Africa's role in global textile and apparel value chains.

AFC, a leading provider of infrastructure solutions across Africa, signed a joint declaration with the United Nations Industrial Development Organization (UNIDO) to accelerate sustainable industrialisation in developing economies. This partnership underscores AFC's dedication to catalysing private investment in key sectors such as energy access, industrial decarbonisation, and agro-industries, aligning closely with the United Nations' Sustainable Development Goals (SDGs).

Additionally, AFC has joined forces with UNIDO, the WTO, the International Trade Centre (ITC), the African Export-Import Bank (Afreximbank), and the International Islamic Trade Finance Corporation (ITFC) to support the 'Partenariat pour le coton' initiative. This initiative aims to enhance the positioning of African nations, including Benin, Burkina Faso, Chad, Mali, and Côte d'Ivoire, within global textile and apparel value chains. Central to this effort is the establishment of regional hubs for sustainable textiles, aimed at boosting trade competitiveness, creating jobs, empowering women and youth, and improving technology and infrastructure within Africa’s cotton sectors.

A highlight of AFC’s involvement in transforming Africa’s textiles industry is through its investee company ARISE IIP’s Glo-Djigbé Industrial Zone (GDIZ) in Benin Republic. The GDIZ hosts a textile manufacturing plant that processes locally sourced raw cotton into finished products, including t-shirts sold domestically and internationally. Recently, 'Made-in-Benin' t-shirts from GDIZ have entered retail markets such as The Children’s Place Store in the US, and the facility has exported 80,000 children's leggings to the French brand Kiabi, demonstrating the significant potential of Africa's textile industry on the global stage.

Commenting on these developments, AFC’s President & CEO, Samaila Zubairu, reaffirmed the corporation's commitment to driving sustainable development across Africa. He emphasized that partnerships with global institutions like UNIDO and transformative initiatives such as 'Partenariat pour le coton' are pivotal in advancing economic and industrial progress, creating quality jobs, and fostering wealth creation in the region.

AFC's recently released "State of Africa’s Infrastructure Report 2024" underscores the vast infrastructure gaps in key sectors such as power, transport, and digital communications across Africa. The report highlights immense investment opportunities that could drive sustainable development and economic growth throughout the continent.

The joint declarations and partnerships forged by AFC at the WTO underscore its pivotal role in shaping Africa's industrial future and enhancing its integration into global value chains, setting the stage for significant economic advancements in the years to come.