AfDB signs Lusophone Compact with Equatorial Guinea and Portugal

The governments of Equatorial Guinea and Portugal have successfully signed a country-specific memorandum of understanding with the African Development Bank for the implementation of the Lusophone Compact. This intends to boost private sector development in Portuguese-speaking countries of Africa, known as PALOPs.

The signing took place in Bata on 7 October, between Cesar Mba Abogo, Minister of Finance, Economy and Planning of Equatorial Guinea, Manuel Grainha do Vale, Chief of Mission of Portugal in Equatorial Guinea and Racine Kane, Bank Deputy Director General for the Central Africa region. Also present at the ceremony were Equatorial Guinea's Minister of Foreign Affairs and Cooperation Simeón Oyono Esono Angue, Minister of Trade and Promotion of SMEs, Micha Ondo Bile, Minister of Justice, Salvador Ondo Ncumu, several secretaries of state, and over 50 representatives of the public and private sector. Equatorial Guinea is the sixth and final PALOP country to sign the Compact after Angola, Cabo Verde, Guinea-Bissau, Mozambique and São Tomé and Príncipe.

The Equatorial Guinea MOU identifies a list of potential private sector and PPP investment projects, which will be reviewed by the Bank, Equatorial Guinea and Portugal and prioritized for further support. It also includes an indicative list of technical assistance projects to accelerate private sector and PPP growth. Mba Abogo described the occasion as "an important element in our strategy to strengthen and diversify the private sector" and underlined the central role of the private sector and public-private partnerships (PPPs) in the nation's Horizonte 2035 national development plan.

Speaking on behalf of the Bank, Kane emphasized its commitment to two central pillars of Equatorial Guinea's development - diversification of its economy and the development of human capital - which he said will be reflected through the Compact. For his part, Grainha do Vale stressed that Portugal seeks to deepen its cooperation with Equatorial Guinea and that the Compact will be an important element in the development of that relationship.

Following the signing, the Bata Chamber of Commerce hosted the Bank delegation which included Ezekiel Odiogo, Head, Private Sector Investment at the Africa Investment Forum, at a roadshow event for the local business community. "The Africa Investment Forum is a unique platform for Equatorial Guinea to showcase its investment opportunities to the global investor community," Odiogo added.