The World Bank Group has unveiled an ambitious financial plan to mobilise about $23bn in private capital for Africa through a massive scaling up of its risk mitigation instruments over the next four years.
According to a statement issued by the Bretton Woods institution on Wednesday, the multi-billion-dollar capital drive will be powered by its newly consolidated Guarantee Platform, which aims to more than double its annual issuance of guarantees on the continent to $6.4bn by 2030. The bank projected that the developmental surge would significantly improve the lives of no fewer than 190 million Africans within the next four years.
The global lender noted that the strategic intervention comes at a critical time when Africa’s working-age population is projected to grow by 740 million over the next three decades, with up to 12 million young people entering the competitive labour force annually.
“Guarantees will play a critical role in attracting private capital into job-rich sectors including agribusiness, energy, infrastructure, healthcare, digital services, finance and trade,” the statement read in part.
The multilateral institution added that the initiative would directly support Africa’s long-term ambition to transform its economy into a global engine of growth.
