The Africa Debate 2021: The ‘Great Reset’? Summary
From 14th to 16th September 2021, Invest Africa hosted the 7th Africa Debate virtually assembling over 1,000 business and policy leaders from over 50 countries to discuss the most pressing social and economic issues facing the African continent.
Throughout the discussions four key priorities for public and private cooperation emerged: strengthening Africa’s institutions, building more resilient health systems, boosting trade and investment and investing in a sustainable future.
Summary of points:
Though the pandemic has exposed weaknesses in African economies, particularly their over-dependence on international partners, the Continent should take the opportunity to reshape its economies with a focus on building resilience, boosting regional trade and investing in sustainability.
Progress has been made in Africa’s drive to secure a fair allocation of global vaccine supplies when countries in the region have worked through African institutions such as the Africa Centres for Disease Control, the Africa Export-Import Bank (Afreximbank) and the African Union. These institutions should be strengthened with a focus on investing in local manufacturing of vaccines.
The private sector has a critical role to play in building resilience in Africa’s healthcare systems and achieving the goal of universal health coverage. Dr. Tedros Ghebreyesus, Director General of the World Health Organization (WHO), encouraged a change in mindset across the healthcare value chain positioning the private sector as a co-investor and partner in mixed healthcare systems.
The African Continental Free Trade Agreement continues to receive support from public and private stakeholders and offers the Continent a unique opportunity to transform its economic model away from exports of primary products towards a diversified economic base, including manufacturing, services, agro-processing and technology.
Good governance and robust institutions are essential to attracting foreign direct investment and capital looks for investable opportunities in stable and transparent markets.
As global investors increasingly look to incorporate ESG targets, alongside financial targets, into their decision-making and monitoring processes, robust ESG practices are more important than ever to the fundraising process for African businesses.
Africa is vulnerable to climate crisis and leveraging sustainable finance to invest in mitigation and adaption measures is a clear priority for businesses and governments alike. Delegates called on the green transition to be reframed as a $3 trillion investment opportunity in Africa to attract private capital and fill the Continent’s green finance gap.
Economies are not shaped from above and economic and social development in the region will rely on creating an enabling environment for MSMEs. Small businesses in Africa continue to face numerous barriers to growth including lack of access to appropriate capital, knowledge gaps and small market sizes.
