The Roadway to Wealth on the Landmass of Africa is from the Export of value-added Farming products AfDB President Dr. Adesina divulged
By Abdul Rahman Bangura-
NEW AFRICA BUSINESS NEWS (NABN) Freetown, Sierra Leone- The Bank’s President made this disclosure at the ongoing 2023 Africa Investment Forum (AIF) Market Place in Marrakesh, Morocco on Wednesday, November 08th, 2023 with the theme: “Unlocking Africa’s Value Chains”.
He spoke during the inauguration of the Alliance for Special Agro-Industrial Processing Zones (SAPZs). On his point, Africa should be able to feed the world by evolving into a global player in food and agriculture.
”To do so, Africa must end the export of raw agricultural commodities. We must recognize that the fastest way to poverty is via the export of raw commodities, while the highway to wealth is from the export of value-added products.
“A modalities why SAPZs are important. They provided critical infrastructure to support agro-industrial development in Africa.
“The aim is to unleash the power of its agricultural potential, with the establishment of food processing and manufacturing companies within the zones.
”The zones will support the transformation of the agricultural sector, raise productivity, scale economies and efficiencies of food and agricultural value chains.”
Adesina said SAPZs offer infrastructure-enabled platforms for Africa to veer around for Agricultural lands into real sources of wealth. He let out that the bank provided the financing of $853 million and mobilized more than $661 million from other development partners to support the establishment of SAPZs.
”Our valued partners include the Islamic Development Bank, the International Fund for Agricultural Development, the Arab Bank for Economic Development, the European Union, and the Korean Export-Import Bank.
”We are also working with the African Union to support the Common Africa Agro-Parks Program.
”Our collective effort has mobilized $1.5 billion in approval of the establishment of 25 SAPZs in 11 African countries,” he said.
Dr. Adesina told to extend SAPZs across African nations, and take edge of the Africa Continental Free Trade Area(AfCFTA), Africa must rise up resources, partnerships, and alliances. He articulated with joy that numeral of partners joining hands to rapidly scale up the SAPZs across Africa.
”The Alliance mobilizing goal is at least two billion dollars in financing and investment
commitments from Alliance members and partners over the next five years.
”Meeting this financing goal will deliver an additional 15 to 20 SAPZs projects in various countries across the continent.
”The Alliance will raise funds through various investment windows for project preparation, project development and construction, and financing for tenant companies,” he noted.
The Alliance would bridge the critical financing gap, complement existing initiatives, and mobilize resources towards the common goal of improving agricultural value addition in Africa. And would equally supply project preparation finance, equity and debt investments, technical assistance, and project tracking and oversight.
Dr. Benedict Oramah – the President of, the African Export-Import Bank( Afreximbank) said that political instability in Africa was a challenge to financing major projects.
Regardless, called for a comprehensive idea and proposal for project financing on the Landmass of Africa.
“There should be continental regulations that countries should respect and justice for anything that is for business.
”It is important to sign constitutional agreements and concessions. It is also important to support products with high profitability,” he added.
For New Africa Business News (NABN) Abdul Rahman Bangura Reports, Africa Correspondent