AfCFTA Proposed $ 1 trillion Fund to Propel Industry and Infrastucture Investment

The AfroChampions initiative, led by former South African President Thabo Mbeki and Businessman Aliko Dangote, has set a framework to support the African Continental Free Trade Area (AfCFTA). The initiative involves a $ 1 trillion investment fund.

According to the plan, the fund will trigger infrastructure and industrial investment necessary to unlock AfCFTA’s 2030 goals.

Moreover, the framework aims to boost Africa’s capital to attract both foreign and domestic investors.

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The initiative revealed that it plans to secure the funds in the next ten years, highlighting issues like infrastructure as opportunities for private sector investment.

For example, the framework lists vital projects such as a railway connecting Djibouti to Dakar to enhance transport and connectivity networks.

“We now have a framework that we can put on the table. We can say yes, we want to have $1trn in 10 years.” Former Nigerian President Olusegun Obasanjo said.

Further, the AfroChampions team asserts that the removal of non-tariff barriers and access to cheap energy will propel AfCFTA further.

Besides, AfroChampions defines a range of opportunities and structural projects that need financing, which the fund seeks to unlock.

Eventually, the AfroChampions initiative seeks to build homegrown pan-African companies driven by private and public sectors. The framework will help manifest tangible opportunities in AfCFTA for all stakeholders.

“The launch of the trillion-dollar framework is driven by the private sector,” Albert, Commissioner for Trade at the AU said.