Africa has the potential to double its GDP by 2040 if annual infrastructure investment rises to USD 155 billion, equivalent to 5.6% of its current economic output. This level of investment could lift real GDP growth by an additional 4.5 percentage points each year, presenting a significant opportunity for broad-based global development. n nAchieving this goal will require a substantial increase in private sector participation. At present, bilateral and multilateral development partners finance 48% of infrastructure projects across the continent, while private capital accounts for only 11%. Governments currently shoulder 41% of spending, but mounting fiscal pressures and rising debt burdens are limiting their capacity. Between 2019 and 2023, African governments spent an average of seven times more on debt servicing than on infrastructure development; in 15 countries, interest payments exceeded infrastructure outlays. Despite these constraints, public authorities are expected to remain central to closing the investment shortfall, especially as alternative funding sources face uncertainty. n nThe upcoming 24th International Economic Forum on Africa will bring together government leaders, private investors, and philanthropic organizations to explore how infrastructure can drive inclusive economic transformation. Discussions will focus on two key areas: expanding access to financing and strengthening local expertise and workforce capabilities. n nThe event aims to highlight actionable strategies that ensure Africa’s infrastructure development supports job creation, equitable growth, and long-term sustainability.
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Africa could double its GDP by 2040 by raising annual infrastructure investment to USD 155 billion, or 5.6% of its GDP. This could accelerate annual real GDP growth by 4.5 percentage points, making this an opportunity to boost global development. n nTo achieve that potential, private sector infrastructure financing must increase. Bilateral and multilateral development partners currently fund 48% of Africa’s infrastructure investment, while private capital contributes just 11%. Governments make up 41% of Africa’s infrastructure spending, but fiscal constraints and debt are straining public budgets. From 2019 to 2023, governments spent an average of seven times more servicing debt than on infrastructure; 15 countries spent more on debt interest than infrastructure. Yet, African governments are set to remain the driving force for bridging the continent’s infrastructure investment gap, as the outlook for other financing sources remains uncertain. n nThe 24th International Economic Forum on Africa will convene public-sector decision makers, private investors, and philanthropic actors to examine how infrastructure investment can drive inclusive economic transformation on the continent. Panels will address two critical challenges: mobilising finance, and developing local capacities and skills. n nThe Forum will spotlight the solutions and strategies that can help ensure Africa’s infrastructure agenda generates inclusive growth, jobs, and sustainable development.