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AFRICAN COMPETITIVENESS:A FOCUS ON INFRASTRUCTURE

AFRICAN COMPETITIVENESS:A FOCUS ON INFRASTRUCTURE. AFRICAN DEVELOPMENT BANK SYMPOSIUM ON MONITORING AND EVALUATION IDENTIFYING INDICATORS FOR MONITORING AID FOR TRADE September 15-16, WTO, Geneva. Outline. Introduction ACR-Pillars Infrastructure Situation in Africa

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AFRICAN COMPETITIVENESS:A FOCUS ON INFRASTRUCTURE

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  1. AFRICAN COMPETITIVENESS:A FOCUS ON INFRASTRUCTURE AFRICAN DEVELOPMENT BANK SYMPOSIUM ON MONITORING AND EVALUATION IDENTIFYING INDICATORS FOR MONITORING AID FOR TRADE September 15-16, WTO, Geneva

  2. Outline • Introduction • ACR-Pillars • Infrastructure Situation in Africa • Infrastructure in AfDB Interventions • The Monitoring Agenda • Other Areas of Focus in Future

  3. Introduction • Africa is experiencing renewed optimism due to a much better regional economic climate despite recent challenges such as high food and oil prices. • But question remain as to how sustainable this growthwillbe over the longer run? • One of the key messages is that African countries must become more competitive.

  4. Africa Competitiveness Report (ACR) -The Nine Pillars

  5. Pillar on infrastructure  Major focus of Bank: Quality of infrastructure & connectivity  Why infrastructure investment? • Facilitates regional integration • Enables intra-regional trade • Connects regions to global markets • Attracts private sector investment

  6. Infrastructure Situation in Africa • Infrastructure remains one of the top business constraints in the region; 30% of overall cost in some cases • Only 30% of rural population in SSA have access to all-season road • Transport costs amongst highest in world • 28 countries affected by energy crisis • Only 30% of African population have access to electricity

  7. ACR Infrastructure Scores, NA Source: African Competitiveness Report,, 2007 (ACR)

  8. ACR Infrastructure Scores, SSA

  9. ACR Infrastructure Scores, SSA

  10. Infrastructure in AfDB Interventions • Approvals for infrastructure projects in 2007 reached a record level of Appx US$3 bn (UA 1.93 billion), accounting for 74.8 percent of total loan and grant approvals. • 48% (energy); 39% (transport); & 13% (other) • Infrastructure represents large portion of AfT Agenda • 1st Global Review presents that infrastructure represented 96% of Bank’s AfT allocation

  11. Strong Regional Operations • Regional activities: important for Bank - increase competitiveness and productivity • Multinational operations increased from USD290 million in 2006 to USD661 million in 2007 and doubled in the recent replenishment • Supporting development of intraregional and regional transport networks i.e. in East African Community: • Issaka (Tanzania) - Kigali (Rwanda) - Bujumbura (Burundi) Railway Line • Kisumu (Kenya) - Busia (Uganda) - Jinja (Uganda) Northern Road Corridor • Nyakanazi (Tanzania) - Kigoma (Tanzania) Bujumbura (Burundi) - Kigali (Rwanda)

  12. The Monitoring Agenda Internal processes  Flagship publication: African Competitiveness Report – with WEF & WB (2007); African Development Report 2009/2010 (Logistics); African Economic Outlook with the OECD  Ex-ante Development Impact Assessment; key indicators infrastructure, imports, exports, intra-regional trade  Competitiveness & trade indicators specified - Logical Framework of project documents & evaluation reports  Data collection activities by the statistics department – Data Platform

  13. Other areas of focus • Sanitary and Phytosanitary agenda • Trade facilitation: ports, customs, etc • Capacity building for trade negotiations: African Legal Support Facility (AfDB) • Mainstream trade in Bank operations • Establish Africa AfT Website • Africa AfT Network -> OECD Knowledge Network • Work with RECs • Promote Development Corridors & Spatial Development Initiatives

  14. Thank you

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