Africa does not lack capital – the challenge is putting it to work, according to South African Finance Minister, Enoch Godongwana, who was addressing the 13th CEO Dialogue on Southern Africa.
Convened by The European House – Ambrosetti (TEHA), Godongwana told delegates: “We do have capital on the African continent. The question is, how do you mobilise that capital effectively?” The answer, he believes, lies in suitable investment instruments and a credible pipeline of projects.
Dialogue speakers agreed that credible project pipelines and clearer investment structures are key to drawing private capital into infrastructure. Better project preparation and sustained procurement programmes, supported by predictable rules and workable risk-sharing arrangements can give investors the confidence to commit over time.
Regional integration was the second major theme for driving inclusive and enduring growth. Stronger cross-border connections and regional value chains can create the market scale needed to attract investment, while making it easier for African businesses to trade with one another under the African Continental Free Trade Area (AfCFTA).
More efficient ports and railways would lower logistics costs and connect regional producers with wider markets.
Enrico Letta, former Italian Prime Minister and dean of the IE School of Politics, Economics and Global Affairs, identified Africa’s young population as a strategic asset, emphasising education’s role in strengthening competitiveness and making economic growth more inclusive.
Delegates also looked at how partnerships can move from intent to implementation, with local value addition highlighted as a driver of industrial competitiveness.
Demonstrating how cooperative development could be achieved, the Italian Agency for Development Cooperation and UNIDO highlighted the ACT coffee programme which supports the development of Malawi’s coffee industry.
The City of Johannesburg itself was firmly on the agenda.
Speakers pointed to urban renewal and closer partnerships between government and business as ways to build on the city’s established infrastructure and corporate base as South Africa’s financial and commercial hub.
TEHA Africa CEO Pietro Mininni called for the city’s economic strengths to gain greater international recognition, and for the perceptions that limit its appeal to investors to be challenged.
He cited TEHA’s benchmarking of 80 emerging and fast-growing cities, which ranks Johannesburg 13th overall and first in Africa.
Mininni then challenged delegates to think bigger and consider a bid to host World Expo 2035.
“Why not Johannesburg in 2035?” he asked.
The TEHA CEO Dialogue brings together government, business and investment leaders from Europe and Africa to strengthen trade relationships and encourage innovation.