African Investment Forum seals 80% of targeted deals

Close to 80% of the investment ready deals that were being negotiated in the boardrooms of the Africa investment Forum have been signed.

At the beginning of the inaugural forum 61 projects with a value of $40.4-billion were set to be discussed in closed boardroom discussions between investors, governments and promoters. On Friday, the last day of the conference, 45 of those deals worth R32-billion had been closed.

READ MORE: African Investment Forum has 306 pipelined projects worth $208-billion

Giving his closing address, Akinwumi Adesina, the president of the African Development Bank (AfDB), which is hosting the forum said this was “incredible” for a first-time event.

Around 350 investors from 53 countries from across the globe were in attendance with 30 of these representing African countries. The rest were from outside the continent including representatives from United Arab Emirates, United Kingdom, France, United States, China, Japan and Switzerland.

Of the agreed upon deals, $6.8-billion in investment will be coming to South Africa.

Gauteng Premier David Makhura said the forum had surpassed his expectations as he and others had hoped for investments of up to $5-billion towards the $100-billion goal that President Cyril Ramaphosa wants to attract within the next five years.

Ramaphosa has already managed to raise about $20.3-billion, towards this target following the investment summit in October.

“As a governor of a province I was worried, will there be something that will come out of here for my country? When I leave here will the minister say it was just a big fanfare and nothing came out, I was worried, but I am very pleased with the $6.8-billion,” Makhura said.

READ MORE: Multibillion dollar investments to be revealed at Africa Investment Forum

South Africa had placed seven projects worth $7.2-billion dollars on the forum’s investment book and six of those projects have received financial backing.

One of the biggest projects that was closed is the Gautrain expansion build project worth $3.9-billion.

Makhura said investors were falling over themselves in the oversubscribed boardroom where the presentation of the Gautrain project was taking place. “Imagine investors in a stampede all of them wanted to finance the Gautrain, so the appetite was huge”.

Gauteng also drew $240-million in investment for a public-private partnership involved in building the province’s schools.

In another oversubscribed boardroom discussion, an investment of $492-million was made towards a project that will renovate government buildings. Gauteng also had money put towards a renewable energy project.

“The African Development Bank has contributed to South Africa’s investment drive. That make us very happy,” said Makhura.

Other key highlights from the conference include the signing of a memorandum of agreement between Ghana and South Africa to develop and finance the $2.6-billion Accra Ai Skytrain.

The AfDB, infrastructure investment platform Africa50, and the governments of Democratic Republic of Congo and the Republic of Congo signed a deal to build the first road-rail bridge linking the two capital cities of Kinshasa and Brazzaville. This agreement received $800-million in investment.

These are unprecedented times, and the role of media to tell and record the story of South Africa as it develops is more important than ever. But it comes at a cost. Advertisers are cancelling campaigns, and our live events have come to an abrupt halt. Our income has been slashed.

The Mail & Guardian is a proud news publisher with roots stretching back 35 years. We’ve survived thanks to the support of our readers, we will need you to help us get through this.

To help us ensure another 35 future years of fiercely independent journalism, please subscribe.

Tebogo Tshwane
Tebogo Tshwane

Tebogo Tshwane is an Adamela Trust financial journalism trainee at the Mail & Guardian. She was previously a general news intern at Eyewitness News and a current affairs show presenter at the Voice of Wits FM. Tshwane is passionate about socioeconomic issues and understanding how macroeconomic activities affect ordinary people. She holds a journalism honours degree from Wits University. 


Tension over who’s boss of courts

In a letter, Chief Justice Mogoeng Mogoeng questions whether Justice Minister Ronald Lamola has acted constitutionally

SABC sued over ‘bad’ clip of Ramaphosa

A senior employee at the public broadcaster wants compensation for claims of ‘sabotage’

Soundtrack to a pandemic: Africa’s best coronavirus songs

Drawing on lessons from Ebola, African artists are using music to convey public health messaging. And they are doing it in style

In East Africa, the locusts are coming back for more

In February the devastating locust swarms were the biggest seen in East Africa for 70 years. Now they’re even bigger

Press Releases

New energy mix on the cards

REI4P already has and will continue to yield thousands of employment opportunities

The online value of executive education in a Covid-19 world

Executive education courses further develop the skills of leaders in the workplace

Sisa Ntshona urges everyone to stay home, and consider travelling later

Sisa Ntshona has urged everyone to limit their movements in line with government’s request

SAB Zenzele’s special AGM postponed until further notice

An arrangement has been announced for shareholders and retailers to receive a 77.5% cash payout

20th Edition of the National Teaching Awards

Teachers are seldom recognised but they are indispensable to the country's education system

Awards affirm the vital work that teachers do

Government is committed to empowering South Africa’s teachers with skills, knowledge and techniques for a changing world

SAB Zenzele special AGM rescheduled to March 25 2020

New voting arrangements are being made to safeguard the health of shareholders