African Development Bank Commits $5 Billion to Tackle South Africa’s Energy Crisis with Inga 3 Project
Key Takeaways
- African Development Bank President urges political will to kick-start Inga 3 dam project, aiming to alleviate South Africa’s energy crisis.
- Proposed $5 billion investment seeks to address energy challenges and foster regional development.
- Initiatives targeting youth unemployment, women’s entrepreneurship, and healthcare infrastructure underscore commitment to inclusive growth and development.
In a bid to address South Africa’s persistent energy crisis and foster regional development, Dr. Akinwumi Adesina, President of the African Development Bank Group, urges for decisive political action to kick-start the Inga 3 dam project in the Democratic Republic of Congo.
With the potential to power over a dozen countries in central and southern Africa, including South Africa, Adesina stresses the need for coordinated efforts to harness this transformative energy resource.
Highlighting South Africa’s ongoing energy challenges and their adverse effects on economic performance, Adesina underscores the critical role of Inga 3 in alleviating the country’s energy shortages.
Emphasizing President Cyril Ramaphosa’s call for tangible action during last year’s Paris Summit, Adesina advocates for multilateral financing to support this monumental project, which holds the promise of providing electricity to millions across the region.
Furthermore, Adesina reaffirms the African Development Bank’s commitment to partnering with the Development Bank of Southern Africa (DBSA) and other stakeholders to address South Africa’s broader development challenges, including poverty alleviation, youth unemployment, and infrastructure development.
Collaborative efforts are underway to invest in transport corridors and innovative financing solutions to bolster regional connectivity and economic growth.
In tackling youth unemployment, Adesina highlights the Bank’s initiatives such as the Skills Enhancement Zones program and the Youth Entrepreneurship Investment Banks initiative, aimed at creating opportunities and fostering entrepreneurship among Africa’s burgeoning youth population.
Additionally, the Bank’s Affirmative Finance for Women in Africa initiative seeks to bridge the financing gap for women-led businesses, addressing systemic biases and promoting gender equality in economic participation.
Addressing healthcare infrastructure, Adesina proposes a scalable business model to invest in primary health facilities across Africa, calling on DBSA to join in this endeavor.
Recognizing the importance of grassroots healthcare delivery, both institutions underscore the need for targeted investments to improve health outcomes and ensure access to essential services at the community level.
As Dr. Adesina reaffirms the African Development Bank‘s commitment to partnership and inclusive growth, DBSA Chairman Ebrahim Rasool echoes these sentiments, emphasizing the importance of collaboration in advancing sustainable development in South Africa and the Southern Africa region.
With key strategic initiatives and partnerships in place, there is optimism for transformative change and inclusive development across the continent.
Joined by senior officials from the African Development Bank, including Vice Presidents for Power, Climate, and Green Growth, Private Sector, Infrastructure, and Regional Development, Integration, and Business Delivery, Adesina’s call for political will and collective action signals a pivotal moment in addressing Africa’s energy challenges and advancing sustainable development agendas.
