NEPAD-IPPF SPECIAL FUND

04/18/23

Fostering Infrastructure Development in Africa

AFRICAN DEVELOPMENT BANK GROUP

Bamory TraoréNEPAD-IPPF Lead Coordinator

NEPAD, Regional Integration and Trade DepartmentAfrican Development Bank Group

AfDB PARTNERSHIP FORUM 2010Tunis, 24-25 March, 2010

NEPAD-INFRASTRUCTURE PROJECT PREPARATION FACILITY

OUTLINE

AFRICAN DEVELOPMENT BANK GROUP

WHY GOOD INFRATRSUTURE?

AFRICAN DEVELOPMENT BANK GROUP

WHY REGIONAL INFRASTRUCTURE?

ACHIEVING MEANINGFUL INTEGRATION IS KEY TO ECONOMIC GROWRH AND COMPETITIVENESS

Regional infrastructure leads to large projects capable of attracting more private sector investments

Regional infrastructure leads to large projects capable of attracting more private sector investments

Efficient infrastructure network generates new investments in other sectors

Efficient infrastructure network generates new investments in other sectors

Weak infrastructure linkages condemns Africa to low competitiveness in the global market

Weak infrastructure linkages condemns Africa to low competitiveness in the global market

African countries, individually, too small to generate economies of scale found in larger markets

African countries, individually, too small to generate economies of scale found in larger markets

AFRICAN DEVELOPMENT BANK GROUP

THE NEPAD-INFRASTRUCTURE PROJECT PREPARATION FACILITY SPECIAL FUND- (NEPAD-IPPF)

PURPOSE: To assist African countries, RECs and institutions to prepare high quality, viable regional/continental infrastructure projects that would be ready to solicit public and private financing To support the creation of an enabling environment for private participation in infrastructure, To support targeted capacity building initiatives to enhance the sustainability of existing and planned infrastructure developed in the continent, in fulfillment of the NEPAD objectives.

PURPOSE: To assist African countries, RECs and institutions to prepare high quality, viable regional/continental infrastructure projects that would be ready to solicit public and private financing To support the creation of an enabling environment for private participation in infrastructure, To support targeted capacity building initiatives to enhance the sustainability of existing and planned infrastructure developed in the continent, in fulfillment of the NEPAD objectives.

KEY CHARACTERISTICS:Facility has been seed financed by the Government of Canada in line with Kananaski’s.The Facility is untied and has been enlarged into a multi-donor facility which includes Canada , Denmark, UK (DFID), Norway, Germany and AfDB.Quick access and disbursement FacilityEligibity : African countries and institutions and PPP promoters Facility is managed by the ADB.

KEY CHARACTERISTICS:Facility has been seed financed by the Government of Canada in line with Kananaski’s.The Facility is untied and has been enlarged into a multi-donor facility which includes Canada , Denmark, UK (DFID), Norway, Germany and AfDB.Quick access and disbursement FacilityEligibity : African countries and institutions and PPP promoters Facility is managed by the ADB.

AFRICAN DEVELOPMENT BANK GROUP

THE NEPAD-IPPF SPECIAL FUND- SCOPE OF ACTIVITIES

KEY FOCUS AREASKEY FOCUS AREAS

Project cycle activities-

Studies

Project reviewPrefeasability, fesability, and detail design

studies

Project cycle activities-

Studies

Project reviewPrefeasability, fesability, and detail design

studies

Project Structuring

and Packaging

PPP assessment PPP

packagingTransaction Support

Project Structuring

and Packaging

PPP assessment PPP

packagingTransaction Support

Enabling Environment

Support for reformsHarmonisation of

frameworksFacilitation

Enabling Environment

Support for reformsHarmonisation of

frameworksFacilitation

Capacity Building activities

Strenghen the RECsDevelop skills

Create knowledge

Capacity Building activities

Strenghen the RECsDevelop skills

Create knowledge

AFRICAN DEVELOPMENT BANK GROUP

EFFICIENT AND INCLUSIVE GOVERNANCE STRUCTURE

ADB BOARD OF GOVERNORS

Approves and amendes the instruments

ADB BOARD OF DIRECTORS•Approves Fund’s Operational guidelines •Approaves the Annual Report

OVERSIGHT COMMITTEE•Determines the strategic orientation •Approves annual work plan•Reviews operational orientation•Advocates for resources•Advises on key focus areas of intervention

An Oversight Committee of 7 members chaired by Donor representative meets twice a Year

NEPAD-IPPF SECRETARIAT•Day-to-Day management of the Funds•Serves as Secretariat to the OC •Reports on Activities•Engage with the beneficiaries and all stakeholders

AFRICAN DEVELOPMENT BANK GROUP

QUICK ACCESS AND EFFECTIVE CLIENT RESPONSIVESS

GRANT APPROVAL REPORTING AND CONTROL MECHANISMS

FLOOR USD20,000

CEILING USD2,000,000

AFRICAN DEVELOPMENT BANK GROUP

2009 YEAR ACTIVITIES AND RESULTS HIGHLIGHTSDuring the year the number of ………….

2009 YEAR ACTIVITIES AND RESULTS HIGHLIGHTSThis brings………….

While average time of

effectiveness stood at 1,2

compared with 1,8 last year

SELECTED ACHIVEMENTS IN SUPPORT FOR REGIONAL INTEGRATION

KEY ACHIEVEMENTS Togo-Benin-Ghana Power Interconnexion EASSy Project secured funding through a PPP Kenya-Uganda Oil Pipeline secured funding through a PPP OMVG-Electricity Project has secured more than 50% of funding Ithezi-Thezi and Kariba North Bank (SAPP) securing financing through a PPP GIBE III securing funding Kazungula Bridge has donor support Gambia-Senegal bridge has donor support Issaka-Kigali-Bujumbura Railways project has donor support

IMPACTS OF THE IPPF SUPPORT implementation of viable regional infrastructure projects worth USD 4.683 billion Closing the infrastructure gap in Africa Enhancing the competitiveness of African economies and supporting trade

AFRICAN DEVELOPMENT BANK GROUP

STRATEGIC PARTNERSHIPS

AFRICAN DEVELOPMENT BANK GROUP

•Co-financing

•Partners include: FAPA, AFD-DBSA, ADB MIC, EIB, USAID, KfW, OPEC Fund, AWF, IFC and AFD.

•Tunnel of Funds

•Ithezi-Thezi Power Generation and Kariba North Bank Hydro Power Projects (with DBSA)

•EASSY project ( with EIB, KfW, AFD-DBSA)

•GIBE III ( with EIB, KfW)

•Kafue Gorge Lower Hydro Power Project (with IFC and AFD-DBSA)

•Outreach Missions to:

•EU-Africa Trust Fund ; NEPAD-OECD Africa Investment Initiative

•Arab funds; IPPF Donors; China; Other Funds

2010 WORK PROGRAM

AFRICAN DEVELOPMENT BANK GROUP

The Fund’s 2010 Work Program is informed by:

•Targeted criteria for effective project prioritization and sequencing

•Strategically scaled-up interventions in the four main focus areas (transport, energy, ICT, transboundary water)

•Greater focus on climate change and carbon financing

•Energy and transport sectors remain priorities, followed by water, ICT; and

•Capacity building programs to be implemented for each REC

2010-2011 Work Program:

•WP 2010 of 20 projets requiring USD 20 million to prepare

•Pipeline of 35 projects worth about USD 60 million in preparation which are required.

ContactsMr. Bamory TRAORE

NEPAD-IPPF Lead Coordinator NEPAD, Regional Integration and Trade Department

African Development BankTel : (216) 71 10 22 23Fax : (216) 71 33 26 94b.k.traore@afdb.org

Nepad-ippf@afdb.org

THANK YOUTHANK YOU

MERCIMERCI

AFRICAN DEVELOPMENT BANK GROUP