Redefining Infrastructure Investment - Transmission Line Financing and Asset Recycling: Africa50 General Shareholders Meeting 2024

A panel session on "Redefining Infrastructure Investment - Transmission Line Financing and Asset Recycling" was moderated by Kader Hassane, Senior Director, Africa50 during the General Shareholders Meeting in Anatanarivo. Some key points from the panelists:

 

• Hon. Manambahoaka Valéry Fitzgerald RAMONJAVELO,, Minister of Transport and Meteorology, Republic of Madagascar, said: “We have an important project around a motorway and we are looking at building the first phase and then we will use an asset recycling instrument to raise capital for the second phase”.
• Dr. Eng. John Mativo MBS, Managing Director, Kenya Electricity Transmission Company Limited (KETRACO), said: “Kenya needs approximately $5bn for the next 20 years to improve our networks and reach a certain level. To meet this number, the government has made a decision to open up the space to the private sector”.
   
• Mr. Kevin KARIUKI, Vice-President: Power, Energy, Climate & Green Growth, African Development Bank Group Development Bank, said: “The model before was to borrow money to burden the exchequer. But we have seen that these projects [transmission lines] can be financed by the private sector. We must be able to reduce the cost of capital and provide an array of instruments such as partial risk guarantees to further reduce the cost of financing”.
   
• Hon. Ludovic Ngatsé, Minister in Charge of the Budget, The Republic of Congo, said: “Congo is undergoing a major reform of the [energy] sector, shifting from a 100% public sector to one with private actors. We are doing this with the support of the AfDB and other partners to make the sector more attractive to private investment”.