Investment Commitments Reach a New Peak in Sub-Saharan Africa While the Number of New Projects Declines
2009
Izaguirre, Ada Karina | Perard, Edouard
Private activity in infrastructure in Sub-Saharan Africa showed mixed results in 2008, according to just-released data from the private participation in infrastructure project database. While investment commitments to infrastructure projects with private participation reached a new peak, the number of projects reaching closure continued to decline. Existing telecommunications operators accounted for most regional investment as well as the growth in investment. The region accounted for almost 9 percent of the year's total investment commitments in developing countries. In 2008, 15 infrastructure projects with private participation reached financial or contractual closure in 10 low- or middle-income countries in the region. These involve investment commitments of US$2.7 billion. Infrastructure projects implemented in previous years had additional commitments of US$10.8 billion, bringing total investment in 2008 to US$13.5 billion. That total represented an increase of 10 percent from the level reported in 2007 and a new peak for the region. Investment in existing projects accounted for the increase, growing by 22 percent from the level in 2007. By contrast, investment in new projects fell by 22 percent.
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