AfDB Rallies Regional Blocs Behind New African Financial Architecture

Dr Ould Tah described NAFA as more than a policy framework, positioning it as a strategic engine for economic transformation.

African Development Bank Group President Dr Sidi Ould Tah has convened a high-level working session with the heads of Africa’s Regional Economic Communities (RECs) to accelerate support for a bold new financing blueprint aimed at transforming the continent’s development model.

Held on 15 February on the margins of the 39th African Union (AU) Summit, the meeting focused on advancing the New African Financial Architecture (NAFA) — a home-grown framework designed to mobilise large-scale domestic capital, strengthen Africa’s financial sovereignty, and close the continent’s persistent development financing gap.

A Blueprint for Financial Sovereignty

Dr Ould Tah described NAFA as more than a policy framework, positioning it as a strategic engine for economic transformation.

“NAFA is not just a financial plan. It is a blueprint for Africa’s economic transformation. It points to a future where Africa finances its development on its terms, through collaboration, coherence, and leadership,” he said.

The initiative forms a central pillar of his “Four Cardinal Points” strategic vision, which seeks to reform Africa’s financial systems, amplify the continent’s unified voice globally, and reduce reliance on fragmented and externally driven financing structures.

Uniting Africa’s Regional Powerhouses

The session brought together chief executives of AU-recognised RECs, including:

• Arab Maghreb Union

• Common Market for Eastern and Southern Africa (COMESA)

• Community of Sahel-Saharan States

• Economic Community of Central African States (ECCAS)

• Economic Community of West African States (ECOWAS)

• Intergovernmental Authority on Development (IGAD)

• Southern African Development Community (SADC)

The Secretary General of the African Continental Free Trade Area (AfCFTA) Secretariat also participated, underscoring the link between trade integration and financial reform.

Closing the Development Financing Gap

Africa faces an estimated multi-billion-dollar annual development financing shortfall, with infrastructure, industrialisation, and climate adaptation among the most underfunded priorities.

Dr Ould Tah stressed the urgency of moving beyond fragmented financing systems toward a coordinated continental architecture capable of unlocking Africa’s capital power.

He said NAFA aims to:

• Mobilise domestic capital at scale

• Rebuild financial sovereignty

• Support youth employment

• Scale transformative infrastructure

• Accelerate industrialisation

Regional Leaders Back the Initiative

REC leaders welcomed the NAFA initiative and outlined steps already underway to expand cross-border infrastructure investment, industrialisation efforts, and private sector development.

They highlighted the importance of:

• Co-financing platforms

• Strengthening regional implementation capacity

• Deploying guarantees to de-risk project pipelines

A strong emphasis was also placed on tackling illicit financial flows, which continue to undermine domestic resource mobilisation and fiscal sustainability.

AU Commissioner: Fragmentation Weakens Impact

Francisca Belobe, AU Commissioner for Economic Development, Trade, Tourism, Industry and Minerals, called for deeper structural reforms and stronger coordination across African institutions.

“There is too much fragmentation in our financial and economic efforts,” she said, warning that fragmentation reduces scale, visibility, and collective impact.

She urged RECs to play a central role in identifying and championing African enterprises capable of anchoring industrialisation and strengthening regional value chains.

“RECs must help position African enterprises at the centre of Africa’s investment and growth opportunities,” she said.

AfCFTA: Infrastructure and Critical Minerals Key

AfCFTA Secretary General Wamkele Mene described NAFA as a timely accelerator for industrialisation and implementation of the continental trade agreement.

He underscored the need to address Africa’s infrastructure deficit and strategically leverage its critical minerals to develop regional value chains and sustainable industrial growth.

RECs as “Wheels of Integration”

COMESA Secretary General Chileshe Kapwepwe stressed that RECs are essential operational engines for NAFA’s success.

“RECs provide the wheels of integration that NAFA requires to originate and package cross-border projects into investable pipelines and foster effective regional cooperation,” she said.

Kapwepwe also called for greater investment in market research, policy harmonisation, and skills audits — including training in emerging technologies such as artificial intelligence — to ensure projects are well-designed and future-ready.

Three Pillars for Implementation

The session concluded with agreement on three strategic pillars to bridge the gap between regional policy commitments and measurable economic impact:

• Deepened coordination between the AfDB, RECs, and African financial institutions

• Strategic alignment of flagship regional projects with NAFA investment priorities

• Accountable, measurable, and inclusive impact

From Vision to Roadmap

The African Development Bank Group will consolidate the outcomes of the roundtable into an implementation roadmap and maintain sustained high-level engagement to ensure NAFA translates into tangible results.

Positioned at the heart of the 2026 AU Summit agenda, NAFA is emerging as a central platform for mobilising Africa’s wealth more effectively and at scale — in line with the continent’s long-term development blueprint, Agenda 2063.