TICAD 7: AfDB, Japan’s joint investment of $3.5bn declared to boost Africa’s pvt sector

The 7^th Tokyo International Conference on African Development 2019 ended on Friday, August 30. The African Development Bank and Japan announced on Friday a joint target of USD 3.5 billion under the Enhanced Private Sector Assistance for Africa initiative (EPSA4).

Both African Development Bank and Japan have set a target of USD 1.75 billion each to boost the fourth phase of EPSA to spur private-sector-led sustainable and inclusive growth in Africa between 2020 and 2022.

“Building on the successful achievements so far, Japan and the Bank have decided to upgrade EPSA in both quality and quantity to meet financial needs for infrastructure development as well as for the private sector development in Africa,” Japan’s State Minister of Finance, Keisuke Suzuki said at the EPSA4 launch ceremony held in Yokohama and attended by government officials and a high-level delegation from the Bank as well as representations of the business community. “I wish that the new EPSA initiative will lead to business, investment promotion, and job creation in Africa,” Keisuke Suzuki added.

It has been revealed at the 7^th Tokyo International Conference on African Development 2019 (TICAD 7) that electricity, transportation and health will be key priorities under EPSA4 and projects and programs for the three key priorities will be formulated and implemented in line with the G20 Principles for Quality Infrastructure Investment and G20 Shared Understanding on the Importance of UHC Financing in Developing Countries. Accordingly, the African countries will also be provided with support to improve and create conducive business environments to attract private investments.

“Today marks another day to celebrate the strong and impactful partnership between Japan and the African Development Bank. The African Development Bank and the Japan International Cooperation Agency (JICA) are long-term partners for promoting the development of Africa. EPSA helps to deliver much needed to support the private sector,” the President of African Development Bank (AfDB), Akinwumi Adesina said.

“Under EPSA 4, JICA and the African Development Bank will provide co-financing of $3.5 billion. This is a significant increase over EPSA-3. Increase is what we need to meet the needs of Africa. Increase is what we need to raise the level of our ambitions for Africa. Increase is what we need to build upon the solid foundations of co-financing over the last 13 years, and deliver even greater and more impactful development results in the years ahead.  Now, let us arise with renewed vigor. Let us deliver even greater impacts for African countries through EPSA 4,” Akinwumi Adesina added.

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