, ADDIS ABABA, May 10 – Africa should not cry foul about lack of financing for infrastructure projects but should first deal with governance issues which are a source of concern to financiers, an expert said here on Thursday.
The head of the African subsidiary of Old Mutual, a financial services provider with headquarters in England, Tavaziva Madzinga told Xinhua that international financial service firms were willing to invest in Africa’s infrastructure projects but were being withheld by concerns such as good governance and corruption.
“The problem of infrastructure in Africa has to be tackled and it is not the problem of lack of funding. People are looking for sound investment. People are willing to put money in infrastructure development but are concerned about issues of governance. If we tackle this, then funds will start coming,” Madzinga said in an interview at the sidelines of the ongoing World Economic Forum on Africa in the Ethiopian capital of Addis Ababa.
He further said there is need for African governments to ensure that there is political stability in order to win the confidence of financiers for various infrastructure projects, adding that the continent needs to bolster investment in infrastructure to ensure meaningful development.
The company has financed various infrastructure projects on the African continent, mainly in South Africa and Zimbabwe, and Madzinga said more funds are available to support various infrastructure projects across the continent.
African governments have long considered the crucial role that infrastructure plays in development and is one of the subjects to be discussed at the World Economic Forum on Africa.
During the forum, the Infrastructure and Urban Development Industries will hold two meetings in which stakeholders will seek to discuss steps on how to prioritize, invest and deliver infrastructure effectively and efficiently.