Port terminal operator DP World and UK’s CDC Group have partnered to invest $1.72bn (€1.5bn) in ports and logistics infrastructure across Africa.
Dubai-based DP World said it has seeded the newly created venture with stakes in existing ports in Senegal, Egypt and Somaliland and expects to invest a further $1bn through the platform over the next several years. CDC, the UK government-owned development finance institution, is committing $320m initially and expects to invest up to a further $400m over the next several years.
The platform will invest in origin and destination ports, inland container depots, economic zones and other logistics across Africa to increase trade, create new job opportunities and broaden access to essential goods.
Sultan Ahmed bin Sulayem, group chairman and CEO, DP World, said: “By combining our in-depth knowledge of ports and logistics and CDC’s expertise in infrastructure investment in Africa, we can drive greater supply chain efficiencies, provide improved trade connectivity and ultimately enhance value for all stakeholders.”
Nick O’Donohoe, CDC Group CEO, said: “Africa’s full potential is limited by inadequate ports and trade bottlenecks, putting the brakes on economic growth in some of the world’s fastest-growing economies and undermining social resilience in the least developed parts of the world.
“This platform will help entrepreneurs and businesses accelerate growth with access to reliable trade routes, and it will help African consumers benefit from the improved reliability and reduced cost of vital goods and food staples.”
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