Dubai-Mubasher: “African countries need a solid foundation on which to place the building blocks of their economies,” said DP World Chairman HE Sultan Ahmed Bin Sulayem.
The statement came in a new DP World report to be unveiled at the Africa Global Business Forum this week.
Soft and hard infrastructure is needed as it determines how quickly physical assets are built and how quickly trade develops, he added.
DP World’s ports in Africa showed how the region has enjoyed strong growth over the last 10 years. However, all this has also placed an increasing strain on existing inland and marine infrastructure.
Despite the impressive flow of projects and policy reforms, Africa’s infrastructure development failed to keep up with the average annual GDP growth of 5%, according to Bin Sulayem.
While Sub-Saharan Africa currently spends around $6.8 billion per year on paving roads, this figure needs to be closer to $10 billion.
Bin Sulayem highlighted the significance of the public-private partnerships (PPP) model, explaining how several African governments have already started to design policies to accelerate infrastructure projects.
