Oliver Arauuba, Group Managing Director (GMD) of the United Bank of Africa (UBA), said the financial institution believes the capital to transform Africa exists within and beyond the continent, but it lacks bankable structures and trusted partnerships.
Delivering a keynote address at the UAE-Chad Trade and Investment Forum in Abu Dhabi on the theme “Financing Africa’s Competitiveness, Building Bridges and Accelerating Progress,” Arrauba said Africa has now entered an era of execution.
Arauba praised the strategic partnership between the Government of Chad and the United Arab Emirates for its “bold approach” to driving national competitiveness through the $30 billion Chad Connection 2030 plan, which he said targets infrastructure, industrialization and human development.
“For too long, the story around Africa has been about possibilities. But I stand before you today and declare that the era of possibilities is over. We are now entering the era of action, and what we are witnessing in Chad is a masterclass in how to make that change happen.
“The $30 billion Chad Connection 2030 Plan is not just a document, it is a statement of intent. It is a detailed roadmap to move the nation from the periphery to the center of global economic competitiveness.
“With 268 projects targeting infrastructure, industrialization and human development, we understand the fundamental truth that competitiveness is not born in the boardroom, but is built on the ground,” he said.
Asked how the $30 billion Chad Connection 2030 plan will be financed, bank executives enumerated the understanding that the project will be executed because a reliable electricity grid is the cornerstone of industrial growth, that access to water for an additional 11 million people will drive economic transformation, and that there is strategic value in building infrastructure and governance that guarantees security of capital for investors.
“When we fund roads, we fund market access. When we build PPPs for renewable energy, we fund both climate resilience and energy independence. When we support digital payment systems, we lay the foundations for inclusive economic growth,” he added.
However, he called on stakeholders to reinvigorate cooperation models.
“This is a model where African financial institutions like UBA step up as financial architects, not just intermediaries,” he said.
Citing a report by the African Finance Corporation (AFC), he said Africa’s domestic financial assets are estimated to total approximately $4 trillion ($2.5 trillion in commercial banking assets, $725 billion in foreign exchange reserves, $455 billion in pension assets, and $320 billion in insurance assets). However, currently less than 15% of these assets are directed toward productive infrastructure essential for growth.
He noted that Chad’s goals of 60 percent electrification, providing water to 11 million people and doubling agricultural production are not insurmountable challenges, adding that UBA sees a portfolio of bankable projects in it.
“At UBA, our commitment is twofold: we are architects of national infrastructure and champions of grassroots financial inclusion. Here in Chad, this is not a promise, but a proven track record.”
“We have already committed more than $102 million in direct investments in Chadian state securities, making us a lead investor in important national projects, from a $49 million domestic gas project to bring clean energy to homes, to a $6.7 million wind farm in Amjaras and critical funding for road maintenance and communications modernization. This demonstrates our deep and vested partnership with Chad’s development agenda.”
He further added: “At UBA, our commitment is twofold: we are architects of our national infrastructure and champions of grassroots financial inclusion.”
“Here in Chad, this is not a promise, but a proven track record. We have already committed more than $102 million in direct investments in Chadian state securities and are the leading funder of important national projects, from a $49 million domestic gas project to bring clean energy to homes, to a $6.7 million wind farm in Amjaras, and critical funding for road maintenance and communications modernization.”
“This demonstrates a deep and vested partnership in Chad’s development challenges.
“But true competitiveness requires an inclusive economy, which is why our presence extends far beyond the capital and across Africa.”
“In Mozambique, we serve customers in Beira, a 16-hour drive from the capital. In Conakry, Guinea, our Nzerekole branch is 788 kilometers away, and in Uganda, we are in Gulu, 335 kilometers from Kampala. By planting our flag in these regions, we are ensuring that the small businesses, farmers and entrepreneurs who form the backbone of our economy are not left behind.”
“We provide capital to build competitiveness from the ground up, ensuring every link in the value chain, from remote farmers to national power companies, has the capital to grow.”
Kayodetokede
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