- Organizations like the Japan International Cooperation Agency (JICA) have pioneered several African investment opportunities.
- Mitsui & Co Ltd has announced plans to resume constructing the multibillion-dollar Mozambique natural gas project.
- Toyota Tshusho covers automobiles, pharmaceuticals, beverages, and energy, employing over 22000 Africans.
Africa’s international relations are strengthening as the Japanese government seeks to shore up investment opportunities in Africa. The African Development Bank Group President Dr Akinwumi Adesina has been wooing investors from Japan to trade with Africa. His primary objective was to showcase the enormous investment opportunities within the continent that would improve its development in the long run.
The move comes even as Japan Prime Minister Fumio Kishida led his country’s charge with a tour of four critical economic points in Africa; Kenya, Egypt, Ghana and Mozambique.
A renewed Africa-Japan partnership confirmed by AfDB
The AfDB has been on a mission marketing various investment opportunities across African countries in the past decades. To accomplish this, the organization has funded numerous exploits that seek to build on existing economic activity while tapping new ones. One such way to achieve economic growth for the continent is by building on Africa’s International relations to promote better export opportunities and collaborations between several key players.
During the recent exploit in Japan, Dr Adesina, Dr Kevin Kariuki, Dr Beth Dunford, and Solomon Quaynor negotiated with the lender’s Executive Director Takaaki Nomoto.
This meeting brought together several senior government officials, including the Minister for Finance, Shunichi Suzuki, Vice Minister for Finance, Masato Kanda and the Director General of the Ministry of Finance, Atsushi Mimura. They met to discuss the future of the Africa-Japan partnership and highlighted the various crucial sectors that would benefit both regions.
Read also: Your investment is safe in Africa, AfDB tells Japan
The Africa-Japan partnership has existed for more than 50 years. Organizations such as the Japan International Cooperation Agency (JICA) have pioneered several African investment opportunities throughout this period. In addition, it has given aid through grants, loans and accelerator programs that have ensured the steady rate of Africa’s development.
To further improve Africa’s international relations, several governments have enthusiastically jumped on the opportunities this partnership has presented. Kenya, Tanzania, Mozambique, South Africa and Senegal have left quite an impression on the Africa-Japan partnership.
Japanese Venture Capital funds operating in Africa
During the visit, AfDB discussed Japanese companies and Venture Capital funds operating in Africa. These organizations have proven that there are successful investment opportunities in Africa. One of the main topics of the meeting highlighted new technologies related o energy and decarbonization.
The discussion also featured several Japanese entrepreneurs and investors interested in Africa’s agricultural sector. Furthermore, to improve the Africa-Japan partnership, several venture capitals highlighted the crucial roles of startups. Overall, the talks covered three main topics revolving around energy, agriculture and the most lucrative investment opportunities in Africa; tech startups.
Read Japan’s financial and tech support steering Africa’s economic future.
Japan companies thriving in the continent
Throughout the years, Africa and Japan have had a mutually beneficial relationship. Due to the fruits of the excellent conduct and co-habitants, several Japanese companies have significantly contributed to Africa’s development. Some of them include:
Mitsui & Co Ltd
Mitsui & Co Limited is one of the most prominent investors in Africa’s industry. The company has announced plans to resume constructing the multibillion-dollar Mozambique LNG project. The project was initially halted in 2021 following an insurgent attack in the country’s southern region of Cabo Delgado. Fortunately, the combined efforts of the South African Development Community (SADC) and troops from Rwanda and Mozambique saved the situation.
Koji Asanuma, General Manager of the Mozambique Project Department, said contraction would resume since the security situation has improved. He further claimed that the preparatory work was continuing, and they would soon contact lenders to kick-start the project. Mitsui & Co Ltd has five offices in Africa; Kenya, Ghana, Morocco, Mozambique and South Africa.
Toyota Tshusho
One of the pioneers in Africa-Japan partnership, Toyota Tshusho has made a name for itself in Africa. It has offices in all 54 countries, a pointer to the success story on Africa’s international relations. Its businesses cover automobiles, pharmaceuticals, beverages, and energy, employing over 22,000 Africans.
The Executive Vice President of Toyota Tsusho Corporation, Toshimitsu Imai, stated that the company will focus on Africa’s development. He noted that the organization intends to establish more projects for wind power in North Africa, solar energy in West Africa and geothermal in East Africa.
In doing this, the company will be responsible for generating at least 10GW of power. The company has also met with AfDB to discuss the potential of Green hydrogen. Currently, it is carrying out studies to ascertain its potential in South Africa, Kenya and Egypt.
Mitsubishi Corporation
Another titin in the Africa-Japan partnership is the Mitsubishi Corporation. It has offices in 11 countries and has promoted several investment opportunities in Africa. It is one of the oldest companies to set shop in Africa in 1954 and has spread its footprints in several industries.
During the meeting with Dr Adesina, it became clear that the organization still sought to improve Africa’s international relations. Senior Vice President Tetsuya Shinohara stated that the company aims to improve its take on Africa’s growth pie. He said that Africa is a tough region, and the company is still figuring out new ways to invest and improve it.
