{"id":32815,"date":"2026-04-23T10:33:36","date_gmt":"2026-04-23T08:33:36","guid":{"rendered":"https:\/\/www.channelafrica.co.za\/channelafrica\/?post_type=news&#038;p=32815"},"modified":"2026-04-23T10:33:36","modified_gmt":"2026-04-23T08:33:36","slug":"africa-fails-to-fund-big-projects-despite-surge-in-local-capital-report","status":"publish","type":"news","link":"https:\/\/www.channelafrica.co.za\/channelafrica\/news\/africa-fails-to-fund-big-projects-despite-surge-in-local-capital-report\/","title":{"rendered":"Africa fails to fund big projects despite surge in local capital: Report"},"content":{"rendered":"<div>\n<p class=\"x_MsoNormal\">Capital held by Africa&#8217;s institutions rose by 25% last year in part because of record gold prices, and yet the continent is \u200bstruggling to finance the infrastructure projects needed to create jobs, the \u200bAfrica Finance Corporation (AFC) said on Thursday.<\/p>\n<\/div>\n<div>\n<p class=\"x_MsoNormal\">Global shocks and geopolitical shifts have \u2060made it harder for African nations to raise funds for development abroad, \u200bmaking it imperative states can draw on internal capital.<\/p>\n<\/div>\n<div>\n<p class=\"x_MsoNormal\">But that is not happening \u200benough, according to the AFC&#8217;s annual study, the &#8220;State of Africa&#8217;s Infrastructure Report&#8221; published on Thursday at the start of a two-day meeting in Nairobi. The talks will try to secure \u200bdeals for infrastructure projects in Africa.<\/p>\n<\/div>\n<div>\n<p class=\"x_MsoNormal\">&#8220;Capital is accumulating across Africa, but it \u200bis not creating jobs at scale,&#8221; said Samaila Zubairu, chief executive of the Lagos-based AFC. &#8220;That \u200cis \u2060the disconnect we must fix.&#8221;<\/p>\n<\/div>\n<div>\n<p class=\"x_MsoNormal\">He said funds focused too much on low-risk assets like government bonds that do not fully translate into productive investments and that this &#8220;failure of alignment&#8221; must be addressed.<\/p>\n<\/div>\n<div>\n<p class=\"x_MsoNormal\">Capital held by African \u200binstitutions like development banks, \u200bsovereign wealth funds \u2060and central banks jumped to more than $2 trillion from over $1.6 trillion a year ago, the report found.<\/p>\n<\/div>\n<div>\n<p class=\"x_MsoNormal\">The increase \u200bin central bank reserves was partly driven by rising gold \u200bholdings, \u2060which gained value from record prices on the international market.<\/p>\n<\/div>\n<div>\n<p class=\"x_MsoNormal\">AFC was founded in 2007 to mobilise funds for investment in Africa&#8217;s infrastructure and industrialisation.<\/p>\n<\/div>\n<div>\n<p class=\"x_MsoNormal\">It is owned \u2060by 48 \u200bAfrican states that make up 64% of \u200bits shareholding as well as the African Development Bank and Turk Exim Bank and private institutions like \u200bAfrican pension funds.<\/p>\n<\/div>\n<div>\n<p class=\"x_MsoNormal\">&#8211;Reuters&#8211;<\/p>\n<\/div>\n","protected":false},"featured_media":32816,"template":"","meta":{"_acf_changed":false},"news-type":[44],"class_list":["post-32815","news","type-news","status-publish","has-post-thumbnail","hentry","news-type-finance","entry"],"acf":{"short_description":"","published_date":"","news_description":"","form_embed":"","author":"","image_caption":""},"_links":{"self":[{"href":"https:\/\/www.channelafrica.co.za\/channelafrica\/wp-json\/wp\/v2\/news\/32815","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.channelafrica.co.za\/channelafrica\/wp-json\/wp\/v2\/news"}],"about":[{"href":"https:\/\/www.channelafrica.co.za\/channelafrica\/wp-json\/wp\/v2\/types\/news"}],"version-history":[{"count":1,"href":"https:\/\/www.channelafrica.co.za\/channelafrica\/wp-json\/wp\/v2\/news\/32815\/revisions"}],"predecessor-version":[{"id":32817,"href":"https:\/\/www.channelafrica.co.za\/channelafrica\/wp-json\/wp\/v2\/news\/32815\/revisions\/32817"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.channelafrica.co.za\/channelafrica\/wp-json\/wp\/v2\/media\/32816"}],"wp:attachment":[{"href":"https:\/\/www.channelafrica.co.za\/channelafrica\/wp-json\/wp\/v2\/media?parent=32815"}],"wp:term":[{"taxonomy":"news-type","embeddable":true,"href":"https:\/\/www.channelafrica.co.za\/channelafrica\/wp-json\/wp\/v2\/news-type?post=32815"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}