Economic Development Assembly canvasses US$120bn to tackle Africa’s poverty

At the Economic Development Assembly: Advancing Africa’s Future in Abidjan, Côte d’Ivoire, it was announced that more than 100 eminent African and international CEOs, world leaders and artists have signed the Abidjan Accord, an urgent call to G20 governments to increase their contributions to IDA, the World Bank’s fund to help lift 77 of the world’s developing nations out of poverty, many of which are in Sub-Saharan Africa.

The Abidjan Accord urges the world’s wealthiest nations to support Africa’s development by working towards a US$120 billion replenishment for the World Bank’s International Development Association’s 21st funding round (IDA21), on the best terms possible for the poorest countries, this December.

Signatories of the Abidjan Accord include representatives from leading companies Intel and Cisco, public sector leaders including Heinz Fischer, Former President of the Republic of Austria; Lawrence H. Summers, Former US Treasury Secretary; Leo Varadkar, former Prime Minister of Ireland; Mary Robinson, Former President of Ireland; and Stefan Lofven, Former Prime Minister of Sweden; artists including Ariel Wayz, Berla Mundi, Davy-Carmel Ingabire, Falana, Femi Kuti, Gyakie, Jeune Lio, Made Kuti, Nomzamo Mbatha, Sophy Aiida and Stonebwoy, philanthropic leaders including Dr. Phumzile Mlambo-Ngcuka, Former Executive Director of UN Women and Deputy President of South Africa and The ONE Campaign; as well as presenting partners Global Citizen, Bridgewater Associates, Harith General Partners, and Laurel Strategies.

 

The powerful declaration was presented at the conclusion of the Economic Development Assembly, a two-day gathering to drive strategic investments in the African continent. Featured speakers included Alassane Ouattara, President of the Republic of Côte d’Ivoire; Robert Beugré Mambé, Prime Minister of the Republic of Côte d’Ivoire; Mohamed Ould Ghazouani, President of Mauritania and current Chairperson of the African Union; Julius Maada Bio, President of Sierra Leone; and Faure Essozimna Gnassingbé, President of Togo.

The rest are Umaro Sissoco Embaló, President of Guinea Bissau; Édouard Ngirente, Prime Minister of Rwanda; Ajay Banga, President of the World Bank; Hugh Evans, Co-Founder & CEO, Global Citizen; Marie-Ange Saraka-Yao, Chief Resource Mobilisation & Growth Officer, Gavi; Neal Rijkenberg, Minister of Finance of Eswatini; Nialé Kaba, Minister of Planning and Development, President of the Board of Governors, African Development Bank; Nir Bar Dea, CEO, Bridgewater Associates; and Tshepo Mahloele, Founder & Chairman, Harith General Partners, and many more.

The event was hosted by Cameroonian actress, international host, television presenter, and philanthropist Sophy Aiida, and included performances by Falana, Jeune Lio and Yvonne Chaka Chaka. Other artists and performers attending the Assembly included Nomzamo Mbatha, actress, humanitarian, and Global Citizen Ambassador; and Gbenga Akinnagbe, actor and writer.

Presenting partners of the Economic Development Assembly are international advocacy organization Global Citizen and asset management firm Bridgewater Associates, in partnership with the Government of the Republic of Côte d’Ivoire and Harith General Partners, and supported by Global Citizen’s global partner Citi.

During the Assembly, several new initiatives were announced to advance development across the continent, including several announcements in support of Gavi, the Vaccine Alliance.

African countries passed the US$100 million mark in co-financing paid to Gavi for the second year in a row at this time last year. As part of this total, it was announced that EDA hosting country Côte d’Ivoire has fully paid US$9.9 million in co-financing to Gavi for 2024. And to extend vaccine delivery to rural communities in Côte d’Ivoire, Zipline, a drone delivery service company, announced it is extending its partnership with Gavi, valued at US$500,000.

Additionally, business leaders announced investments in the future of the continent, including Energea and Hecate Energy, who are teaming up to build utility-scale solar installations in Africa. Energea will provide investment funding, while Hecate will bring their expertise and expand on the success of current projects under development in South Africa, Mozambique, Sierra Leone and Algeria with the aim to power millions of African homes and businesses.

Global Citizen and the Center for Music Ecosystems will collaborate to produce and disseminate original research to make the business case for investment into Africa’s creative economies and live events industry.

Through the publication of comprehensive research data at various stages, the initiative will engage local and international partners, governments, and stakeholders to drive investment in the creative economy. Key elements will include providing free access to landmark research, enabling governments to make informed investment decisions. The research is being funded by Universal Music Group.

“The Economic Development Assembly in Abidjan highlighted the importance of collaboration between the private, public, and civil society sectors to discuss some of the most difficult challenges and opportunities that Africa faces – and the impact they will have on the global economy,” Bridgewater CEO Nir Bar Dea said.

“As our research and collaboration with the World Bank, global policymakers, and thought leaders has highlighted, an increase in IDA funding will play an outsized role in advancing global growth by supporting important development goals like furthering healthcare, core infrastructure, and energy access,” Nir Bar Dea, CEO, Bridgewater Associates.

“Too many developing countries are saddled by high-interest loans, strangling their economies and diverting funding that should be supporting social services such as healthcare, education, nutrition and building infrastructure. Fully funded, IDA has the potential to improve living conditions for almost 2 billion people.

It’s one of the most strategic investment G20 governments can make in the global economy of the future,” Hugh Evans, Co-Founder & CEO, Global Citizen.

“Investing in Africa is not just about capital; it’s about recognizing the potential of a continent with boundless resources, talent, and opportunity. The future of Côte d’Ivoire, and Africa at large, is bright, and those who invest today are planting the seeds for tomorrow’s prosperity,” Tshepo Mahloele, Founder & Chairman, Harith General Partners.

“Today I join with 70 other leaders, organizations and individuals by adding my name to the Abidjan Accord, which is an urgent call to leaders of the G20 nations to urgently step up and invest to advance Africa’s future,” Dr. Phumzile Mlambo-Ngcuka, Former Executive Director of UN Women and Deputy President of South Africa.

New research from Bridgewater Associates, Changing Sub-Saharan Africa’s Growth Trajectory, highlights the potential of economic growth amidst the region’s rapidly expanding population. Over the coming decades, the region’s share of the global working-age population is projected to grow from 10 to 25 percent.

This transformation will be a key driver of economic and geopolitical shifts worldwide, as Africa as a continent has the potential to become an engine of global economic growth. However, current trajectories suggest a risk of stagnation, which could leave a significant portion of the world behind, with far-reaching consequences.

The research underscores the need for urgent collaborative action among policymakers, private investors, and Multilateral Development Banks to harness the economic opportunities presented by Sub-Saharan Africa’s demographic growth. By doing so, the global community can help ensure a prosperous future for the region and contribute to the global fight against extreme poverty.

The Economic Development Assembly is a precursor to the G20 Summit, being held in Rio de Janeiro, Brazil in November and the IDA21 replenishment conference, being held in Seoul, Korea in December 2024.