The Global Gateway Africa – Europe Investment Package aims to support Africa for a strong, inclusive, green and digital recovery and transformation by:
- Accelerating the green transition
- Accelerating the digital transition
- Accelerating sustainable growth and decent job creation
- Strengthening health systems
- Improving education and training
The Global Gateway Africa-Europe Investment Package is being implemented through Team Europe initiatives: the EU, its Member States and European financial institutions work together to support concrete and transformational projects jointly identified in priority areas.
Accelerating the green transition
To tackle the global challenge of climate change, the EU works with Africa to maximise the benefits of a job-rich green transition and minimise environmental threats in full compliance with the Paris Agreement.
Across the African continent, massive deployment of renewable energy and clean hydrogen production would contribute to having at least 40 Gigawatts of electrolyser capacity by 2030. It would also help develop the renewable hydrogen sector by unlocking business opportunities in both the supply and demand side for energy-intensive industries.
Green transition: key areas
The Investment Package will allow for an increase in renewable energy and hydrogen and share in the energy mix, access to affordable, reliable and sustainable energy, and support market integration and sector reforms.
Ambition by 2030: Increase the renewable energy generation capacity by at least 300 GW.
Initiatives undertaken under the Investment Package contribute to increasing the sustainable use of natural resources and biodiversity protection and nature-based solutions as the basis of a green recovery, including support for protecting landscapes and ecosystems.
Ambition by 2030: Improve the livelihood of 65 million people, capturing carbon, stabilising 3 million km² of land and ensuring water security.
Agri-food systems
The Investment Package supports more sustainable African agri-food systems by creating a conducive and transparent policy environment for sustainable private investments, enhancing investments supporting agri-food and fish processing, facilitating innovation and boosting improved nutrition.
Ambition by 2030: accelerate the sustainable transformation of African food systems to support Africa’s agriculture, fisheries and food development agenda.
Climate resilience and disaster risk reduction
Africa is particularly vulnerable to the extreme impacts of climate change, which threatens to undo decades of economic progress and development. The Investment Package builds resilience by supporting disaster risk reduction and climate change adaptation, enhancing disaster preparedness for effective response and recovery, rehabilitation and reconstruction and strengthening governance to manage disaster risk.
Ambition by 2030: Enhance the capacity of partner countries to adapt to climate change and substantially reduce disaster risk.
Accelerating the digital transition
Tackling the global digital divide at all levels and strengthening secure digital connections between Europe and Africa, but also across Africa is a shared priority. In the post-COVID-19 world, digital solid connections have become even more essential. The Investment Package facilitates projects in submarine and terrestrial fibre-optic cables, as well as cloud and data infrastructures and supports regulatory frameworks promoting a digital transition that puts people at the centre and the principles of trusted connectivity, such as data protection.
Ambition by 2030: accelerating universal access for all in Africa to reliable internet networks safely and securely wherever they live.
In focus: AU-EU Digital4Development Hub
With the Medusa flagship, underwater cabling in the Mediterranean will connect Northern African countries to EU countries. An extension of the cabling to West Africa is currently envisaged, with a first landing in Dakar (Sénégal).
The Africa 1 subsea digital cable will be linking Europe to the entire East coast of Africa.
Accelerating sustainable growth and decent job creation
The Investment Package will allow us to substantially increase investments to boost regional and continental economic integration, growth and decent job creation.
Sustainable growth: key areas
Transport
The Investment Package facilitates mobility and trade within Africa and between Africa and Europe through strategic corridors by developing multi-country transport infrastructure, supporting investment in sustainable, efficient, and safe connectivity between both continents and updating and harmonising regulatory frameworks.
Ambition by 2030: Integrate the African and European multimodal transport networks in line with the regional and continental frameworks and tailor these networks to the economic potential of the African Continental Free Trade Area.
Support to businesses
The Investment Package supports early-stage businesses and young entrepreneurs – especially women – in Africa to launch, consolidate and grow sustainable, solid and inclusive businesses and create decent jobs by offering financial and technical support at the early stages of their development.
Ambition by 2030: Increase the private sector’s contribution to Africa’s growth and economic transformation.
Economic integration
The EU supports strengthening Africa’s economic integration process towards the African vision of the AfCFTA as a single continental trade and investment system which is stable, solid and based on clear regulatory frameworks. As part of its Team Europe efforts, the European Commission has announced an additional €630 million to continue such support, including the operationalisation of the TEI Technical Assistance Facility to the AfCFTA – a €24.2 million action co-funded by France, Germany and Sweden.
Ambition by 2030: Strengthen continental and regional economic integration and accelerate Africa’s industrial development.
Inclusive economies – North Africa region
Through the Economic and Investment plan for the Southern Neighbourhood, the EU seeks to promote sustainable trade and investment into higher value-added sectors and support vocational training to seize the new opportunities offered by the twin transitions to green and digital. The initiative will also support entrepreneurship for young and women entrepreneurs, particularly in future-oriented areas.
Ambition by 2030: Increase the private sector’s contribution to Africa’s growth and economic transformation.
Sustainable mineral raw materials value chains
The EU is developing bilateral partnerships with resource-rich countries to identify key thematic areas to take advantage of the AfCFTA and to promote investment along the raw materials value chains, supporting partner countries to develop regional value chains, diversify their economies and create local added-value.
Ambition by 2030: Enable African countries to integrate their raw materials and resources into sustainable global value chains.
Africa-EU Science, Technology and Innovation Initiative
The EU is committed to stepping up cooperation with partner countries to improve capacities in science, technology and innovation, upgrade research and innovation facilities, strengthen innovation ecosystems, and increase research collaboration. The Investment Package supports using new technologies and knowledge transfers in Africa by leveraging EU Space Programmes and applications.
Ambition by 2030: Accelerating Africa’s transition to an innovation-led, scientific knowledge-based economy value chains.
Strengthening health and pharmaceutical systems
Resilient health systems and successful vaccination campaigns are key to mitigating the effects of COVID-19 on public health and providing better health care in the future. Team Europe supports Africa’s efforts in vaccine deployment, infrastructure and production capacities, skills development, regulatory frameworks and universal health coverage.
Ambition by 2030: Improved vaccination coverage strengthened the African pharmaceutical system with regional manufacturing capacities to meet local needs and demand.
In focus: manufacturing and access to vaccines, medicines and health technologies
The Team Europe initiative Manufacturing and Access to Vaccines, Medicines and Health Technologies aims to support African partners in strengthening local pharmaceutical systems and manufacturing capacity. At a regional level, EU funding is mobilised for regulatory strengthening and the African Medicines Agency (AMA), the WHO technology transfer hub, and the secretariat of the Partnership for African Vaccine Manufacturing, hosted by the Africa Centres for Disease Control and Prevention. At the national level, the focus is on increasing production capacity and manufacturing plants and creating the right ecosystem for investment.
Investing in education and training
Investing in education is an investment in the world’s future. With 1.6 billion children out of school at its peak, the COVID-19 pandemic has created an unprecedented learning disruption, which we must address.
The EU is committed to supporting its African partners in providing modern, quality education and training for all children and youth, training that corresponds to the opportunities available in the labour market, facilitating youth mobility, and fostering innovative solutions to enhance teachers’ competencies and skills.
Ambition by 2030: Expanded skills development opportunities to meet emerging needs for Africa’s economic and social transformation.
In focus: Youth mobility for Africa
The Team Europe Initiative on Youth Mobility for Africa promotes youth exchanges and mobility in Africa and between Africa and Europe. Under its umbrella, it will gather all relevant EU programmes, such as Erasmus+ and offer a critical mass of scholarships and internships. By helping to strengthen Africa’s higher education space and promote the continent as a study destination for African students, it supports African continental integration.
Supporting sustainable financing for growth
Unlocking additional financing for sustainable transitions will be key to achieving our shared ambition.
The Global Gateway Africa-Europe Investment Package supports early-stage businesses and young entrepreneurs – especially women – in Africa to launch, consolidate and grow sustainable, solid and inclusive businesses and create decent jobs.
In focus: Investing in Young Businesses in Africa
Investing in Young Businesses in Africa: Supporting Entrepreneurship Ecosystem Development (IYBA-SEED) IYBA-SEED is part of the Team Europe Initiative ‘Investing in Young Businesses in Africa’, which aims to support the young business ecosystem, with a particular focus on women. It will contribute to creating decent jobs and resilient economies by strengthening entrepreneurial ecosystems in several sub-Saharan countries, resulting in increased access to financial resources and technical assistance for SEED beneficiaries.
Sustainable financing: key areas
The financing of the Global Gateway Africa-Europe Investment Package includes the EU and the EU Member States’ bilateral aid and both grants and loans. The Investment Package is also attracting private funding, targeting investment from both Africa and Europe.
The EU helps mobilise investment by sharing risks involved in investing through blended finance and guarantees.
Global Green Bond Initiative
The EU seeks to support partner countries in developing and scaling up their green bond markets and help them attract greater financing from the international capital markets and institutional investors for sustainable investment. This is done by:
- providing Technical Assistance to partners and
- attracting private investors
Special Drawing Rights
On 14 October 2022, the EU signed a €100 million grant agreement for the International Monetary Fund’s (IMF) Poverty Reduction and Growth Trust (PRGT).
It will allow the IMF to make about €630 million worth of zero-interest loans for PRGT-eligible African, Caribbean and Pacific (ACP) countries facing balance of payments difficulties.
This comes in addition to Special Drawing Rights rechanneling from EU Member States. Access to affordable finance is key to helping these countries maintain macroeconomic stability in the context of the economic and food crisis worsened by Russia’s war of aggression against Ukraine. The EU’s contribution reflects its commitment to find multilateral solutions to today’s most pressing challenges and complements EU Member States’ pledges to channel SDR contributions.
