The Wilson Center Africa program is proud to announce the relaunch of our Brown Capital Management Africa Forum with a discussion on sovereign wealth funds (SWFs) and infrastructure development in Africa. 

By 2050, Africa is projected to be home to 2.5 billion people, almost twice as many as today. Adequate infrastructure services are needed to match this rapid demographic growth and urbanization, especially in Africa’s rapidly expanding cities that are already experiencing extreme infrastructure deficits.  The African Development Bank estimates that between $130 billion and $170 billion is required for infrastructure development each year.  Investing in infrastructure projects in Africa, especially at the city level, will require significant social and financial investments and new sources of financing to meet the funding gap. Sovereign wealth funds (SWFs) are increasingly becoming major sources of finance in many African countries. Although relatively small when compared to those in other countries around the world, African SWFs have the potential to contribute meaningfully towards financing infrastructure development and fostering economic growth. 

Our speakers discussed the importance of African SWFs, and the role that they can play in de-risking private investment for infrastructure development, especially at the city or subnational level. They also highlighted some of the risks and opportunities for African SWFs and infrastructure investments.

Launched in September 2015, the Brown Capital Management Africa Forum provides a premier platform for substantive and solution-oriented dialogue on key trade, investment, and development issues in Africa, and in US-Africa relations. Learn more about the Forum's work on sovereign wealth funds here: Strengthening the Role of African Sovereign Wealth Funds in the International Financial System: Interplay between Policy, Governance, and Sustainability - Key Outcomes.