Experts at the African Private Capital Association’s (AVCA) third Sustainable Investing in Africa Summit (SIAS) have emphasized the need to mobilize $2tn in domestic capital to fuel renewable energy and infrastructure development across Africa.
The one-day summit focused on innovative strategies for attracting both local and global investments, called for urgent action on climate change and advocating for inclusive economic growth across the continent.
In her opening remarks, CEO, AVCA, Abi Mustapha-Maduakor urged Africa’s capacity to originate innovative solutions despite facing challenges.
She said, “Africa is rich in creativity, resilience, and potential. However, we face legacy issues such as infrastructure deficits and low financial inclusion.
“We are witnessing a seismic shift that brings together capital, knowledge, and the brightest minds to align on sustainable pathways to development. Together, we have the opportunity to be catalysts for transformative change.”
A critical theme across all panels was the importance of mobilising domestic capital to complement foreign direct investment (FDI) flows to Africa.
Head, Venture and Early Stage Financing Vehicles, FSD Africa Investments, Zee de Gersigny noted that African domestic investors, particularly pension funds and financial institutions, held around $2trn in collective assets which could be mobilised to invest in renewable energy, education, broadband connectivity and water sanitisation among others.
The speakers noted that Africa is a key region where impact investments can yield healthy returns.
However, to stimulate investment at the pace and scale needed for Africa to meet the sustainable development goals (SDGs), investors need to re-imagine what successful investment in Africa looks like.
Head, Social Impact and Philanthropy, UBS Tom Hall said, “The power of partnerships is crucial in mobilising capital efficiently, and we need innovative blended finance solutions that we can scale. By aligning financial returns with transformative impact, we can channel significant resources to tackle Africa’s most pressing challenges.”