The African Development Bank Group, the African Continental Free Trade Area (AfCFTA) Secretariat, and Africa50 have signed a Memorandum of Understanding to accelerate infrastructure development across Africa and unlock the potential of the continent’s largest free trade area. The agreement, signed during the Africa50 General Shareholders Meeting in Maputo, establishes a framework for cooperation to identify, design, construct, and maintain critical infrastructure projects that will enhance intra-African trade, promote regional integration, and advance digital transformation across a market of 1.3 billion people.
Currently, intra-African trade represents only 15–18% of total African trade, significantly lower than Europe and Asia. The partnership aims to address infrastructure gaps that hinder cross-border trade, prioritizing the development of multimodal transport corridors, cross-border infrastructure, logistics hubs, ports, and airports. These initiatives are expected to reduce trade costs, facilitate market connectivity, and enable African businesses to compete more effectively within the continent and globally.
In addition to physical infrastructure, the agreement emphasizes digital transformation. The partners plan to establish advanced data centers and digital trade platforms to support the continent’s participation in the global digital economy. This focus reflects the recognition of technology as a key enabler of trade, efficiency, and economic growth.
The African Development Bank has previously invested over $55 billion over nine years in regional economic corridors, including roads, ports, railways, and power interconnections. Between 2014 and 2024, it invested more than $8 billion in 109 cross-border infrastructure projects. Solomon Quaynor, the Bank’s Vice President for Private Sector, Infrastructure & Industrialization, highlighted that the new tripartite agreement reinforces the goal of leveraging infrastructure to fully realize the AfCFTA single market, with a combined GDP of $3.4 trillion.
Alain Ebobissé, CEO of Africa50, noted that the partnership will support the development and financing of trade-enabling infrastructure, a critical step toward boosting intra-African trade. The collaboration will operate under six strategic pillars: aligning with the AfCFTA Agreement and regional policies, jointly identifying bankable projects, mobilizing capital through innovative financing, establishing tracking systems, fostering stakeholder dialogue, and integrating environmental, social, and governance standards throughout project lifecycles. Detailed work plans and implementation agreements over the three-year MoU will define projects, timelines, and financing arrangements, supported by technical working groups to ensure coordination and alignment with national and regional priorities.
Wamkele Mene, Secretary-General of AfCFTA, emphasized that infrastructure development is central to doubling intra-African trade to 25% by 2030. He described the initiative as a strategic opportunity to invest in institutions, infrastructure, and skills, noting that enhanced trade-enabling infrastructure is crucial for the continent to realize its economic potential in the global context.
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