AfDB Pushes for New Financing Strategy in North Africa

The discussions built on the theme of the AfDB's 2026 Annual Meetings in Brazzaville, "Mobilising Africa's Development Financing at Scale in a Fragmented World."

The African Development Bank Group (AfDB) has called for stronger efforts to mobilise development financing across North Africa as countries face tighter global financial conditions and rising borrowing costs. During a regional seminar and national dialogue held in Tunis on 30 June, policymakers, development partners and investors explored practical ways to unlock more domestic and international investment for the region's long-term growth.

The discussions built on the theme of the AfDB's 2026 Annual Meetings in Brazzaville, "Mobilising Africa's Development Financing at Scale in a Fragmented World." Participants agreed that changing global economic conditions require North African countries to rely more on their own financial resources while creating stronger partnerships with private investors. Mohamed El Azizi, Director General of the African Development Bank for North Africa, said the transformations taking place in the global economy demand fresh approaches to help countries finance their development ambitions and strengthen economic resilience.

Untapped regional resources offer major investment potential

Participants noted that North Africa possesses significant financial strengths that remain underused. These include substantial domestic savings, expanding institutional investors, sovereign wealth funds, an active private sector, a large diaspora and a strategic location connecting Africa, Europe and the Middle East.

Despite these advantages, much of the available capital is not reaching productive sectors because of limited financial intermediation, underdeveloped capital markets and a shortage of long-term financing instruments. Speakers emphasised that the challenge is no longer simply finding capital but ensuring it is directed toward investments that support sustainable economic growth.

The national dialogue focusing on Tunisia identified three priority areas for improving development finance. The first centred on increasing domestic revenue by broadening the tax base, reducing inefficient tax expenditures and accelerating the digital modernisation of public administration.

The second priority focused on attracting more private investment through stronger public-private partnerships, blended finance mechanisms and greater use of diaspora remittances. According to Tunisia's central bank, remittances reached approximately $2.96 billion in 2025, representing about 6.5% of the country's gross domestic product, highlighting their importance as a potential source of development financing.

Bank pledges continued support for innovative financing

Malinne Blomberg, Deputy Director General of the African Development Bank Group for North Africa and Country Manager for Tunisia, said sharing successful experiences between countries and strengthening regional cooperation are essential for increasing both domestic and international resource mobilisation. She added that these efforts can accelerate economic transformation while creating development models that are more resilient, inclusive and increasingly financed through North Africa's own resources.