This article is sponsored by AUDA NEPAD
Honorable Excellencies, Esteemed Delegates, Ladies and Gentlemen,
It is with great pleasure that I welcome you to the 8th PIDA Week in Addis Ababa, a city that epitomizes the unity and aspirations of Africa. I would like to extend my heartfelt thanks to His Excellency, Prime Minister Abiy Ahmed Ali, for graciously facilitating this important event. Your unwavering leadership and personal involvement in this opening ceremony reflect a deep commitment to fostering Africa’s development and promoting regional cooperation. We are profoundly grateful for your steadfast support.
Since its inception in 2015, PIDA Week has transformed into an essential platform for advancing infrastructure development across the continent. Co-hosted by the African Union, AUDA-NEPAD, the African Development Bank, and UNECA, this event is a vital forum for evaluating our progress, addressing challenges, and forging strategic partnerships. This year’s theme, “Fostering Resilient and Inclusive Infrastructure for Africa’s Sustainable Growth: Leveraging Transformative Financing and Regional Integration,” underscores our commitment to tackling the pressing infrastructure issues that Africa faces. Building on the momentum from the 2022 Dakar Financing Summit and the PIDA First 10-Year Implementation Report launched in Nairobi in 2023, we come together in Addis Ababa to explore innovative solutions that will reshape the infrastructure landscape and advance our collective vision for the continent.
The progress achieved by PIDA over the past decade demonstrates what can be achieved through determination and collaboration. The current Priority Action Plan 2 (PAP 2) features 69 transformative projects across transportation, energy, water, and ICT. This includes groundbreaking initiatives such as the Grand Inga Hydropower Project, which, upon completion, will be the largest electricity generation facility in the world, and the ambitious plan to create a navigable Nile River that links Lake Victoria to the Mediterranean Sea. These visionary projects remind us of Africa’s rich legacy of innovation, a tradition that can be traced back to the construction of the pyramids. Today, that same creative spirit drives our infrastructure agenda forward, step by step, as we strive to realize our ambitious vision for Africa.
The PIDA Ten-Year Implementation Report highlights significant accomplishments. More than 30 million people have gained access to electricity, changing lives and driving economic growth. Enhanced road and rail networks have slightly increased intra-African trade, which now represents 16% of total trade. In the water sector, vital storage infrastructure supports agriculture and commerce, while broadband access has surpassed expectations, reaching over 25% and catalyzing Africa’s digital transformation. During the construction and operational phases, PIDA initiatives have generated over 160,000 direct and indirect jobs, underscoring their important impact on employment and livelihoods. These milestones not only reflect the tangible benefits of PIDA’s work but also highlight the ongoing challenges we must tackle.
Infrastructure development in Africa still faces substantial financing gaps, with only $82 billion secured out of the $360 billion needed by 2040. Many projects struggle to achieve financial viability due to insufficient early-stage preparation and lingering risk perceptions. Addressing these challenges requires a focus on three key pillars: policies, partnerships, and financing. Effective regional coordination is crucial, as evidenced by the success of treaty-based organizations and corridor initiatives that harmonize national strategies with regional goals. Strengthening public-private partnerships is equally important to ensure that projects are sustainable, inclusive, and community-driven. Innovative financing approaches, including blended finance and risk guarantees, are vital to mobilizing the resources needed to close the funding gap.
The transformative potential of Africa’s corridors is clear. These routes serve not only as transportation links but also as vital channels for economic integration and industrial growth. Projects such as the Lobito Corridor, which connects Angola, the Democratic Republic of Congo, and Zambia, alongside the Trans-African Highway Network, covering over 56,000 kilometers, illustrate the critical role of connectivity in enhancing regional trade. The establishment of 32 One-Stop Border Posts has significantly improved cross-border trade by reducing delays and fostering regional collaboration. These corridors exemplify how thoughtfully planned infrastructure can unlock economic opportunities, improve lives, and support Africa’s broader development objectives.
Access to energy is a cornerstone of sustainable development. Despite progress, over half of Africa’s population still lacks reliable electricity. The Continental Power Systems Masterplan (CMP) offers a bold solution, aiming to provide electricity access to 80% of Africa’s population by 2040 while facilitating intra-African electricity trade valued at $136 billion annually. This initiative seeks to integrate renewable energy markets and interconnected power grids, positioning Africa as a leader in clean energy. Countries such as Morocco and South Africa have demonstrated what can be achieved through strategic policies and public-private collaboration, achieving significant advancements in renewable energy production. Nonetheless, challenges such as weak procurement frameworks and grid integration issues must be addressed to fully realize Africa’s energy potential.
The success of PIDA hinges on tackling the critical challenges that shape Africa’s infrastructure landscape. One of the most urgent barriers is risk mitigation; for too long, perceived risks have discouraged private sector investment, leaving essential financing gaps unresolved. Implementing innovative financial instruments like partial risk guarantees and blended finance can pave the way for greater private sector engagement, enabling transformative initiatives that redefine economies and unite regions.
Additionally, the demand for integrated planning is equally critical. Infrastructure development cannot succeed in isolation. Energy, transport, water, and digitalization must operate as interconnected components of a coherent strategy, creating synergies that foster sustainability and long-term impact. Coordinating projects across these sectors ensures that every road, bridge, or power facility forms part of a larger network that uplifts communities and stimulates economic growth.
Local ownership provides another essential element to this agenda. Infrastructure projects must belong to the communities they are intended to serve; they cannot simply be external solutions imposed upon unfamiliar environments. Public-private partnerships that involve local businesses and empower communities cultivate genuine engagement and ensure ongoing maintenance. Building local capacities ensures that these initiatives are not only viable but also embraced as engines of growth and transformation.
The ultimate goal of PIDA extends beyond the mere construction of physical infrastructure. Its true significance lies in its ability to transform lives. Roads and power grids are not the end goal; rather, they serve as vehicles for generating opportunities, fostering industries, and inspiring hope across the continent. As PIDA enters its next phase, it should continue to prioritize empowering Africa’s population, nurturing dynamic markets, and promoting industrialization.
Placing people at the center of this vision changes everything. Infrastructure becomes more than just steel and concrete; it transforms into a catalyst for unlocking brighter futures and more resilient economies. When the needs and aspirations of Africa’s citizens inform every project, PIDA achieves far more than merely delivering infrastructure—it becomes a potent engine of prosperity, opportunity, and progress.
Let us take advantage of this 8th PIDA Week to reaffirm our collective commitment, engage in meaningful dialogue, and chart a path towards sustainable growth and regional integration. Your participation is a vital step in realizing this vision.
Thank you.
