Fitch Media Ventures Sees Robust Growth in African Logistics Infrastructure
Sector News | Feb 04, 2025 | fitch media ventures
Significant investment is expected to enhance Africa's logistics infrastructure from 2025 to 2030, driven largely by private investments and Development Finance Institutions (DFIs) due to limited public spending capacities. Coastal markets are set to receive the lion's share of this investment to become regional hubs, although hinterland markets will eventually benefit from growing global demand for critical minerals. Fitch Media Ventures highlights the importance of public-private partnerships (PPPs) and DFIs like the African Development Bank in this development, underscoring legal improvements that pave the way for increased logistics infrastructure progression.
Sectors
- Infrastructure Investment
- Logistics and Supply Chain
- Development Finance
- Mining
Geography
- Africa – The article discusses infrastructure investments across Africa, focusing particularly on coastal and hinterland regions.
- Angola – Example of logistic development through the Lobito Corridor project, receiving international backing.
- Tanzania, Kenya, Zambia – Countries listed as focal points for investment in transport infrastructure as they develop as trade hubs.
Industry
- Infrastructure Investment – The article focuses on expected investments in Africa's logistics infrastructure, which includes projects in transport, ports, and utilities.
- Logistics and Supply Chain – The article discusses improvements in logistics networks aimed at enhancing trade within Africa and making countries gateways to regions.
- Development Finance – Utilizing Development Finance Institutions and public-private partnerships is critical for the proposed infrastructure projects.
- Mining – Hinterland markets in Africa are targets of investment due to the global demand for critical minerals.
Financials
- USD2.49bn – Amount allocated by the African Development Bank to transport projects across Africa in 2023.
- Approx. USD13bn – Investment in Africa's port projects with private sector participation from 2010 to 2022.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Fitch Media Ventures | Analyst | Company | Provides analysis and forecast on infrastructure investments in Africa. |
| African Development Bank (AfDB) | Development Finance | Company | Acts as a significant supporter for infrastructure development financing in Africa. |
| World Bank | Development Finance | Company | Facilitates infrastructure projects through financial support. |
| China Ex-Im Bank | Development Finance | Company | Provides significant lending for African infrastructure projects. |
| International Development Finance Corporation (DFC) | Development Finance | Company | US-based institution supporting global infrastructure endeavors. |