AfDB Tasks Ireland to Grow Investments in Africa to 15%

By Adedapo Adesanya

The African Development Bank (AfDB) has called on the Irish business community to invest more in Africa, submitting that this will be beneficial to both parties.

The president of AfDB, Mr Akinwumi Adesina, while speaking at the 7th Africa Ireland Economic Forum in Dublin recently, charged investors of the European country to invest more in Africa.

Since joining the lender as its 81st shareholder in 2020, Ireland has shown steadily increasing interest in strengthening its economic ties with Africa albeit having a low percentage.

“If you are not investing in Africa, you’re not in business,” Mr Adesina told his audience, adding that “Foreign direct investment of Ireland in Africa was $572 million at the end of 2020 and represented only 0.05 per cent of Ireland’s total net foreign direct,” Mr Adesina said.

“This is too low. Ireland should invest a lot more in Africa. Let’s set a target of 15 per cent of Irish investments in Africa.”

Speaking at the forum, the country’s Minister of Foreign Affairs and Minister of Defence, Mr Simon Coveney talked about Ireland’s deepening economic and cultural links with Africa.

He noted the prospects for closer trading links with the continent, pointing out that trade between Ireland and Africa would likely reach €5 billion by 2025.

Receiving the Bank Group chief, Irish President, Mr Michael D. Higgins congratulated Mr Adesina for his work on the recent establishment of the African Pharmaceutical Technology Foundation.

“Nothing is more important than that,” said President Higgins and spoke about his long-time interest in Africa and his optimism for its economic advancement.

Discussing the looming global food crisis prompted by Russia’s war in Ukraine, President Higgins welcomed the pre-emptive steps the Bank had taken to ensure food security for the continent.

Describing their meeting, Mr Adesina said: “President Higgins so warmly received me. He has a heart and passion for Africa. He told me: ‘You are doing such an incredible job for Africa with your leadership in running the African Development Bank. I am inspired by your vision.’”

Mr Adesina thanked the Irish government for joining the AfDB and the African Development Fund, the Bank Group’s concessional lending arm, and he expressed appreciation for Ireland’s contribution—announced by Foreign Affairs and Defence Minister Coveney on Thursday—of €2 million to the bank for climate adaptation.