G7 partners pledges $420-million-dollar investments for Africa as Nigeria positions

Leaders from the Group of Seven (G7) countries, along with representatives from Italy and the United States private sectors, have committed to a $420 million investment towards African countries. The commitment, aimed at meeting Africa’s infrastructure and development needs through private sector engagement, was made during the ongoing 50th G7 summit hosted by Italy.

The investment is part of the G7 Partnership for Global Infrastructure and Investment (PGII), which aims to mobilize $600 billion in infrastructure investment in emerging economies. Italy, the United States, and the European Union have joined efforts to support sustainable development along the Lobito Corridor, committing up to $320 million in investment to strengthen rail infrastructure and related projects.

Additionally, the Global Energy Alliance for People and Planet (GEAPP) has committed $100 million in philanthropic investment capital to unlock an additional $1 billion in private finance. The Africa Green Industrialization Initiative (AGII), led by the African Development Bank (AfDB) and the African Union Commission (AUC), aims to generate, finance, and execute green infrastructure projects in Africa, catalyzing up to $10 billion in private sector investment.

Italy’s Mattei Plan for Africa, in collaboration with AfDB, has launched new financial instruments to boost development in Africa, open to contributions from international partners. The G7 leaders emphasized their commitment to increasing coordination to maximize collective impact and develop transformative economic corridors in Africa.

Nigeria, as one of the largest trading partners with G7 countries, is well positioned to benefit from these financial commitments to Africa. For example, from 2022 to 2024, Nigeria was Canada’s largest bilateral merchandise trading partner in Africa.