African Development Bank Calls for Private Capital Influx to Bridge Continental Infrastructure Gaps and Fuel Trade

AfDB DG Kennedy Mbekeani calls on private investors to fund African infrastructure, bridging the fiscal gap to drive AfCFTA success and economic resilience.

By: AXL Media

Published: Mar 11, 2026, 6:28 AM EDT

Source: The information in this article was sourced from LEADERSHIP News

Mobilizing Private Wealth for Continental Integration

At the Africa Trade Conference in South Africa, Kennedy Mbekeani, the African Development Bank’s Director General for Southern Africa, underscored a critical shift required in the continent's development strategy. He argued that the mobilization of private capital is no longer a luxury but a fundamental necessity for financing the infrastructure required to support trade integration. According to Mbekeani, many African nations currently face significant fiscal limitations and overstretched balance sheets, making it impossible for the public sector to bear the full burden of multi billion dollar development projects alone.

Shifting Governance from Ownership to Enabling Regulation

A central theme of Mbekeani’s address was the need for governments to rethink their traditional roles as the primary owners and operators of national infrastructure. He suggested that by creating an enabling environment through sound policy and regulation, states could attract private investors who are better equipped to manage complex logistics and services. Mbekeani pointed to existing successes in the transport and energy sectors, where private operators manage services under government oversight, as a blueprint for wider infrastructure development. This transition would allow governments to focus on governance while the private sector provides the necessary technical and financial firepower.

Closing the Gap Between Market Potential and Productive Capacity

While Africa represents the world’s largest free trade area by the number of participating countries under the AfCFTA, Mbekeani noted that infrastructure deficits continue to stall progress. He explained that a vast market exists, yet the continent lacks the integrated productive capacity to meet internal demand efficiently. According to the AfDB director, infrastructure is the primary conduit through which production and consumption are linked. Without modernized roads, rails, and energy grids, the continent will remain unable to fully harness the benefits of a single market, leaving significant economic value on the table.