Africa has great potential for sustained inclusive growth. Africa will be a priority for the German G20 presidency in 2017. The G20 (Group of 20) is an international forum for the governments from 20 major economies in the world. To renew efforts for sustainable economic development in Africa the German Presidency has launched the “G20 Africa Partnership” to support private investment,sustainable infrastructure and employment in African countries as well as contribute to the AU Agenda 2063.
The Partnership intends to support related political initiatives of the G20 and facilitate joint commitments (Investment Compacts) between African countries,G20 Partners and International Financial Institutions. Compacts should be demand driven and form the basis for long-term cooperation, with the aim of creating a sound investment climate in relevant sectors of selected African economies.The initiative builds on existing regional and international strategies.
The envisaged Partnership will comprise the following fields of cooperation:
Strengthening the framework for private finance and investment
One envisaged outcome is a commitment on Investment Compacts, which includea country specific set of measures to improve the macro, business, and financingframework for private investment, including in infrastructure.G20 Finance Deputies commissioned a report by the International Financial Institutions operating in Africa toprovide information on existing investment initiatives in Africa, and to identifybest-practice instruments and measures (modules) that can support private andinfrastructure investment. The identified modules will form part of tailor-madeinvestment Compacts.
Developing quality infrastructure, e.g. access to renewable energy
The G20 could support sustainable infrastructure growth through knowledgesharing on quality infrastructure investment and the sustainable management ofnatural resources. The G20 could become a global partner of the Africa RenewableEnergy Initiative (AREI) and help to expand the coverage and increase the efficiency of climate-related risk finance and insurance schemes in AfricaG20 willcontinue to implement the Energy Access Action Plan (Subsahara Africa).
Improving inclusive economic growth and employment
The G20 could launch an initiative to stimulate employment and income-generating opportunities for young Africans, including through skills development(Initiative for Rural Youth Employment) and vocational training. The G20 could in addition commit to an action plan on the empowerment of women and girls through digital inclusion – eSkills4Girls.
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