Japan will invest US$30 billion in Africa’s public and private sectors over the next 3 years.
This was revealed during the 8th Tokyo International Conference on African Development (TICAD8) held in Tunisia.
Some of the key sectors that will benefit from this funding include agriculture in the pursuit of addressing food security and communication infrastructure on the continent. In addition, investing in the health sector in Africa is also a priority since healthcare has had to contend with myriad challenges.
The sector offers several investment opportunities, including pharmaceuticals, healthcare services and training.
While opening the event, Japanese Prime Minister Fumio Kishida said that his country would support start-ups, social enterprises and green investments in Africa.
In addition, Japan will be training human resources over the 3-year period to empower businesses falling under the qualifying categories.
Japanese Foreign Minister Yoshimasa Hayashi said his government had already approved US$100 million for the Tunisia Covid-19 Social Protection Emergency Response Support Project.
This was confirmed by TICAD8 Media Coordinator Mohamed Trabelsi, quoted by TAP.
The declaration was made at the conclusion of a meeting that included Japan’s Yoshimasa Hayashi and Tunisia’s Minister of Foreign Affairs, Migration, and Tunisians Abroad, Othman Jerandi.
According to Trabelsi, Tunisia and Japan have signed two partnership agreements, the first of which calls for technical and financial collaboration as well as the funding of different development projects and reform initiatives undertaken by the Tunisian government.
In the second agreement, Tunisia would join the Japanese effort to lower greenhouse gas emissions. This is under the purview of Paris Agreement Article 6.
Earlier, on the sidelines of the TICAD8 Summit, the Japan External Trade Organization (JETRO), the Japan International Cooperation Agency (JICA), the United Nations Industrial Development Organization (UNIDO) and the United Development Programme (UNDP) launched a partnership agreement that aims to contribute to sustainable growth and development in Africa through enhanced partnerships with the Japanese and African private sectors.
This partnership agreement was launched in conjunction with the signing of a memorandum of understanding between the four organizations.
The tripartite cooperation with JICA, JETRO, and UNDP that was struck at TICAD7 in Yokohama, Japan, in 2019 was upgraded to become a quadripartite partnership when it was signed at the same event. Through staging a series of business seminars, pitch events, and business matching, the cooperation has, up to this point, resulted in an improved start-up ecosystem and aided the raising of Japan’s commercial and investment portfolio in Africa.
For example, it was discovered that at least five African start-ups that were pitched at the combined events had received investments from Japanese venture capitalists.
When it comes to assisting African nations in accelerating their work toward achieving the Sustainable Development Goals and the African Union’s Agenda 2063, Japan’s leadership and development experience, as well as its business know-how, innovations, and technologies, all have an important part to play.
There has never been a time when the need to find new ways to align and leverage the private capital of the world towards increased sustainability was more pressing than it is now in the wake of escalating crises such as the Covid-19 pandemic, the war on Ukraine, and the cost-of-living crisis brought on by climate change.
The 8th Tokyo International Conference on African Development (TICAD 8) is a summit-level international conference on African development that was initiated by Japan. It brings together Heads of State and Government from Africa, Japan, and their partners to engage in dialogue on issues related to economic growth, trade and investment, sustainable development, human security, and peace and stability in Africa.