Economy

AfDB governors approve transformative innovations in aviation, health sectors.

AfDB top notch during one of their meetings

Governors of the African Development Bank, AfDB Group, have approved two innovative projects aimed at transforming the continent´s aviation sector and making healthcare delivery easily affordable and accessible to people in the continent.
Code named, the Integrated Aviation Transformation Program, IATP, and the Africa Medicines and Medical Equipment Facility, AMEF, they are both designed to mobilise greater capital, reduce risks, and address major continental challenges.

The Bank officials assured the people that the innovations will enable the de-risking of aviation and health systems through innovative financing, and also enable users to appreciate the Bank Group’s approach, which reflects the evolving role of multilateral development banks.

Which are moving from project-by-project financing to creating platforms capable of bringing together partners, attracting capital, and delivering solutions at the scale, to the continent’s challenges.

The Bank´s officials see the IATP and AMEF not only as two complementary initiatives but, more importantly, as two applications of the same financial architecture: one aimed at strengthening air connectivity, logistics chains, and regional integration; the other focused on securing access to essential medicines, vaccines, and medical equipment.

“We need high-quality medicines that meet international standards. Africa also needs airlines capable of connecting the entire continent, strengthening regional integration, and supporting the African Continental Free Trade Area, AfCFTA,” said Dr Sidi Ould Tah, President of the Bank Group.

On financing the projects, Dr Tah revealed the AfDB Group is mobilizing up to 7 billion United States Dollars, USD; which is about 3.5 trillion FCFA, over a period of five years to “unlock potential of African aviation”.

He also disclosed that Japan, one of the Bank Group´s principal partners, will contribute 10 million USD; which is about 5 billion FCFA, to support the IATP project.

The AfDB boss was upbeat that improved air connectivity can strengthen supply chains, including for medicines, vaccines, medical equipment, and healthcare personnel.

Meanwhile, governors and partners praised what they refer to as “the Bank’s approach of turning continental priorities into bankable and deployable platforms”.

Apart from the Bank´s Governors, the approval was witnessed by technical and financial partners, private sector representatives, philanthropic foundations, and investors.

All of who expressed strong support for the Bank Group’s new platform solutions approach, which they say, is aimed at accelerating Africa’s transformation in the health and aviation sectors.