From February 2nd to 3rd, 2023, the second Dakar Financing Summit for Africa’s Infrastructure (DFS-2) unfolded at CICAD, showcasing a remarkable mobilisation of states and private sectors. With a focus on 22 projects spanning transport, ICT, energy, and water sectors, the summit played a pivotal role in galvanising efforts towards sustainable infrastructure development in Africa.

The high-level event, jointly hosted by the Government of Senegal and the African Union Development Agency – NEPAD (AUDA-NEPAD), brought together Heads of State, government officials, and decision-makers from over 18 countries.

The summit showcased 22 projects worth a staggering USD 160 billion under the Programme for Infrastructure Development in Africa (PIDA), aiming to increase Africa’s competitiveness and economic integration.

Reflecting on the summit’s outcomes, there is a collective commitment to reach the objectives outlined in Agenda 2063, highlighting Africa’s determination to achieve world-class infrastructure integration. Despite the positive momentum, reflections on the summit point out some challenges, including the need for increased financial commitment from governments and a stronger role for African sovereign wealth and pension funds in infrastructure financing.

In a noteworthy development following the summit, a total of five PIDA PAP 2 projects have successfully secured over USD 850 million in funding:

Lesotho Highlands Water Project Phase II has obtained approximately $168 million in funding from the New Development Bank (NDB).

The Egypt - Navigation Line between Lake Victoria and Mediterranean Sea (VICMED) project has secured $2 million in funding for feasibility studies, thanks to the NEPAD Infrastructure Project Preparation Facility (IPPF) grant.

The Luapula Hydropower Project, aimed at supporting the preparation of a hydropower initiative in the Democratic Republic of the Congo (DRC) and Zambia, received a grant of $4.2 million. This funding was approved by the Multilateral Cooperation Centre for Development Finance (MCDF) in September 2023.

The Zizabona interconnector project has successfully secured $1 million in funding through the African Development Bank from the Sustainable Energy Fund.

The African Development Bank has also approved various financing structures totalling $696.41 million for Burundi and Tanzania to embark on Phase II of the Joint Tanzania - Burundi - DR Congo Standard Gauge Railway Project. This initiative aims to construct 650 kilometres of rail infrastructure, contributing to the development of the Central Corridor network.

These successful funding endeavours underscore a positive momentum post-summit, further bolstering the realisation of crucial infrastructure projects outlined in PIDA PAP 2. The diverse range of projects, from water management to energy and rail infrastructure, reflects a collective commitment to addressing Africa’s developmental needs and fostering sustainable growth across the continent.

In conclusion, the Dakar Financing Summit has set the stage for a new era in African infrastructure, with concrete commitments, partnerships, and funding paving the way for sustainable development. As Africa navigates its infrastructure challenges, collaborative efforts and strategic financing will be crucial to achieving the ambitious goals outlined in PIDA and Agenda 2063.