The G20 Compact with Africa (CWA) Initiative aims to increase investment in Africa, in particular in infrastructure, by improving the macroeconomic, political, and financial environment. The B20 calls on the G20 to upgrade its partnership with Africa and to build on existing initiatives such as the Agenda 2063 of the African Union. The initiative needs to be demand-driven. Compacts need to be signed with individual African countries and should be tailored to the needs and interests of the respective country.
The B20 has published its policy recommendations for the Compact with Africa. We, the Business 20 (B20), strongly welcome the G20 Africa Partnership launched by the German G20 Presidency and the “Compact with Africa” (CWA) initiative in particular to promote investment in African countries. The B20 has developed 10 high-level recommendations for an upgraded G20-partnership with Africa:
Strengthening the Environment for Foreign Direct Investment: The G20 should, in partnership with the Compact countries, improve the environment for FDI by jointly working on investment facilitation plans and more strongly supporting public-private partnerships.
Boosting Investment in Infrastructure: The G20 should, jointly with the Compact countries, enhance investment in infrastructure by providing better information about infrastructure project pipelines, further expand risk mitigation instruments, and increase regulatory certainty.
Enabling Reliable and Affordable Energy: The G20 should, in cooperation with the Compact countries, enable reliable and affordable energy by promoting the development and further expansion of bankable and investment-ready energy investment pipelines with a larger number of high-quality energy infrastructure Projects.
Increasing Digital Connectivity: The G20 should, in cooperation with the Compact countries, bridge the digital divide between and within countries by enabling investment in ICT infrastructure as well as scaling up capacity building and skills programs.
Fostering Open and Inclusive Trade: The G20 should, in cooperation with the Compact countries, foster open and inclusive trade by reducing trade barriers, implementing trade facilitation measures, and scaling up capacity building.
Improving Good Governance and Responsible Supply Chains: The G20 should, in cooperation with the Compact countries, foster responsible global and regional supply chains and anti-corruption measures by supporting the comprehensive set of existing international initiatives and by encouraging the African partners to develop strong national institutions.
Enabling Small and Medium-Sized Enterprises: The G20 should, in cooperation with the Compact countries, enable an environment that promotes SMEs as a pillar for inclusive growth and development.
Improving Financial Inclusion: The G20 should, in cooperation with the Compact countries, advance financial inclusion to create a broader basis for sustainable economic growth and development.
Advancing Health: The G20 should, in cooperation with the Compact countries, support measures that aim to expand access to essential healthcare services to their citizenry by applying best practices, building improved and sustainable policies, as well as incentivizing private sector involvement.
Advancing Employment and Education: The G20 should, in cooperation with the Compact countries, advance employment and education, in particular by promoting open, dynamic, and inclusive labor markets, and by harnessing technological change through education.