EU makes US$170 billion play to rival China in Africa. But where is the money coming from?
- Bloc pledges funding for projects ranging from manufacturing to green energy
- Officials offer few details on who will do the financing and how the investment will be structured
It will be pumped into a range of sectors, including manufacturing, transport infrastructure, green energy, sustainable food chains, health and education.
The money will come from both public and private sources, with the EU aiming to invest €20 billion per year in debt, equity and guarantees.
But it was unclear just how much would come from the EU’s own coffers, and how much would need to be coaxed from the private sector. Leaders could not specify how the funds would be structured, or where they would come from.
European Commission President Ursula von der Leyen said that with “regular reporting and accountability”, there would be “pressure on both sides to deliver”. This would provide “checks as to what is still available as financing and what has been allocated already”.
02:41
China pledges 1 billion vaccine jabs for Africa amid growing fear about Omicron coronavirus strain