The African Development Bank has recently estimated that the continent’s infrastructure needs amount to $130–170 billion a year, with a financing gap ranging between $68 and $108 billion. Globally, institutional investors such as insurance companies, pension funds, and sovereign wealth funds have more than $100 trillion in assets under management, a small fraction of which would be enough to close Africa’s infrastructure financing gap. Do you think project finance can play a role in tapping into the global savings? Discuss in detail the instruments that can be used in accessing the much needed funding.

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Project finance can indeed play a crucial role in tapping into the global savings to address Africas infrastructure financing gap Project finance refers to the financing of longterm infrastructure pro... View the full answer