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Five (5) Things You Need to Know About the Luanda Declaration on Financing Africa’s Infrastructure Development

Five (5) Things You Need to Know About the Luanda Declaration on Financing Africa’s Infrastructure Development

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November 09, 2025

Adopted by African Union Heads of State and Government on 30 October 2025 in Luanda, Angola, the Luanda Declaration represents a renewed continental commitment to transforming Africa’s infrastructure landscape as a foundation for trade, industrialization, and integration under Agenda 2063. Convened under the theme “Capital, Corridors, Trade: Investing in Infrastructure for the AfCFTA and Shared Prosperity,” the Declaration advances a results-oriented agenda for mobilizing capital, accelerating project delivery, and institutionalizing Africa-led financing mechanisms.

Below are the five key takeaways every policymaker and implementation partner should know. 

  1. A Strategic Shift Toward Financial Sovereignty and Blended Capital. Capital

 The Luanda Declaration establishes a bold agenda for Africa’s financial independence in infrastructure financing.Leaders called for the immediate establishment of the AAMFI Project (Infrastructure) Financing Facility, a new continental mechanism anchored by the Alliance of African Multilateral Financial Institutions (AAMFI), including Afreximbank, TDB, AFC, Africa Re, ATIDI, and SHAFDB.

This Facility aims to pool African capital, de-risk investments, and unlock blended finance instruments to crowd in private and institutional investors. It signals a paradigm shift: from dependency on external concessional loans to self-driven, Africa-owned financing solutions.

Implementation note: Implementation note: AUDA-NEPAD, AUC and AFDB will will.Work together to increase  the capacity of NEPAD-IPPF; AUDA-NEPAD and AAMFI will lead the establishment of an infrastructure investment facility targeting high-risk projects.

  1. Acceleration of the Programme for Infrastructure Development in Africa (PIDA-PAP2)

The Declaration reaffirms PIDA-PAP2 as the blueprint for achieving the goals of the Second Ten-Year Implementation Plan of Agenda 2063.Leaders endorsed 38 bankable projects, including 13 priority PIDA-PAP2 projects with a combined investment mobilization of USD 18 billion a direct outcome of the Luanda Summit.The Declaration calls on Member States to integrate PIDA priorities into national development plans and budgets, and to adopt innovative project preparation mechanisms to close the gap in early-stage financing a long-standing barrier to infrastructure delivery.

Implementation note: AUDA-NEPAD and AfDB will lead the establishment of a dedicated infrastructure preparation and investment facility targeting high-risk, early-stage projects. 

  1. Renewed Focus on the Presidential Infrastructure Champion Initiative (PICI)

Recognizing the need for political leadership to drive complex regional projects, the Declaration revitalizes the Presidential Infrastructure Champion Initiative (PICI), tasking Heads of State to personally champion cross-border and high-impact infrastructure projects.

Leaders committed to: An Annual Presidential–Investor Dialogues to sustain investor confidence;An Annual PICI Technical Task Team Meeting for coordination and monitoring; and strengthening national PICI focal points for effective project delivery.This move repositions PICI as a strategic political lever for mobilizing investment and resolving implementation bottlenecks that have historically hindered the progress of cross-border projects.

Implementation note: Member States are encouraged to provide financial and technical support to the PICI Secretariat and ensure transparent project reporting. 

  1. Integrating Industrialization and the AfCFTA into Infrastructure Planning.

The Declaration explicitly links infrastructure investment to productive transformation and trade facilitation.Leaders directed the AUC and AUDA-NEPAD to fast-track the Programme for Accelerated Industrial Development for Africa (PAIDA) aligning industrial corridors with the AfCFTA and PIDA frameworks.This approach positions infrastructure not merely as a physical asset but as an enabler of regional value chains, industrial zones, and digital corridors that can drive sustainable job creation.

Implementation note: The Integrated Economic Corridor Approach will guide implementation merging transport, energy, and digital infrastructure with industrial policy planning. 

  1. Strengthened Governance, Monitoring, and Innovation for Implementation

The Declaration introduces a new level of accountability and innovation into Africa’s infrastructure agenda.

It calls for:

  • A continental monitoring and reporting mechanism to track the implementation of commitments and ensure transparency;
  • The mainstreaming of gender equality, youth empowerment, and inclusion in the infrastructure value chain;
  • The responsible use of Artificial Intelligence (AI) in transport and infrastructure systems to enhance safety and efficiency; and
  • A strong focus on climate-resilient, low-carbon infrastructure aligned with Africa’s just energy transition.

Implementation note: The AUC and AUDA-NEPAD will coordinate progress reports to be presented to the Assembly of the African Union for consideration and follow-up action. 

The Luanda Declaration on Financing Africa’s Infrastructure Development

 

For media inquiries, please contact:

  1. Ms. Faith Adhiambo | Information and Communication Directorate | African Union Commission | E-mail ochiengj@africanunion.org

Ms Benita Nsabua, , Communications and Advocacy: African Union Development Agency- NEPAD (AUDA-NEPAD); Email: BenitaN@nepad.org

 

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