In a move to bolster economic and strategic ties with Africa, the Prime Minister of Italy, Giorgia Meloni, and the President of the African Development Bank Group (AfDB), Dr. Akinwumi A. Adesina, met on the sidelines of the G7 Heads of State and Government Summit in Puglia.
Their discussions focused on launching joint initiatives to support Italy’s Mattei Plan for Africa and the Rome Process on Migration and Development agenda, as outlined during the Italy-Africa Summit held in Rome in January 2024.
Prime Minister Meloni highlighted the importance of the Mattei Plan, emphasizing its role in fostering robust economic and strategic partnerships with African nations.
“Italy’s ‘Piano Mattei’ will foster economic and strategic partnerships with African nations and institutions, and the African Development Bank Group is our main strategic financial partner for its implementation. Our collaboration will sustain the development of initiatives with Africa’s public and private sectors, with additional opportunities for Italian businesses.”
Prime Minister Meloni
AfDB’s Role in Delivering Impactful Development
Dr. Adesina expressed his enthusiasm for the partnership, praising Italy’s proactive approach.
“I applaud Prime Minister Meloni for her launch of the Mattei Plan and for selecting the African Development Bank Group as its strategic partner to deliver it for Africa.
“Our partnership will deliver impactful development impacts across African countries, expand access to energy, tackle climate change, support food security, boost health services, and expand skills and jobs for the youth. This will help create more economic opportunities in Africa and help stem drivers of migration.”
Dr. Adesina
The collaboration between Italy and the AfDB will encompass several strategic initiatives aimed at fostering development across the African continent.
A Multi-donor Special Fund will be established to serve the Mattei Plan for Africa and the Rome Process on Migration and Development. The fund targets high-impact, climate-aligned investments in key strategic sectors, supporting sovereign entities in Africa.
Due to its multi-donor nature, the fund will attract other international partners, thereby leveraging additional funding. Italy has already announced an initial pledge of around $130 million in highly concessional loans and grants, with further commitments from the United Arab Emirates (UAE). The AfDB has committed to matching the fund’s contributions on each project with its own resources.
A bilateral agreement between Italy and the AfDB will include a co-financing arrangement and a trust fund to finance joint projects. Italy has committed approximately $150 million in highly concessional loans and grants, which the AfDB will at least match.
This agreement aims to pursue the priorities set out by the Mattei Plan for Africa and Italy’s Development Cooperation strategy, focusing on sectors such as energy, water, agriculture, health, education, training, and both physical and digital infrastructure.
Growth and Resilience Platform for Africa
A common platform, the Growth and Resilience platform for Africa (GRAf), will be established to promote private sector investments. This platform aims to mobilize equity capital to regional funds that finance entrepreneurial activities supporting job creation in Africa.
Italy’s Development Financial Institution (DFI), Cassa Depositi e Prestiti (CDP), has indicated an intention to catalyze up to $820 million over a five-year horizon, with both CDP and the AfDB considering up to $200 million each over the same period.
Italy has committed up to $45 million to the Alliance for Green Infrastructure in Africa (AGIA), an initiative promoted by the AfDB, African Union, and Africa-50, which aims to mobilize $10 billion to support investment in green infrastructure across Africa.
The joint Initiatives will be diligently managed through the AfDB’s decision-making processes, ensuring that the projects align with the broader development goals for Africa. This partnership marks a significant step towards addressing key challenges such as climate change, energy access, food security, and job creation, thereby contributing to sustainable development across the continent.
By leveraging the strengths of both Italian and African institutions, this collaboration promises to deliver substantial benefits, creating a more prosperous and stable future for Africa. As these initiatives roll out, the world will be watching how strategic partnerships can drive meaningful development and foster stronger international cooperation.
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