adminBank’s Long Term Strategy (LTS) last month.
AfDB (Zimbabwe) lead economist Mr Damoni Kitabire said some of the participants urged for the bank’s strategies and projects for Zimbabwe to be in tune with the overarching socio-economic policy.
“It was noted that majority of the issues pertaining to Zimbabwe are addressed in the country’s Medium Term Plan.
“The bank was urged to consult the MTP as a guideline on Zimbabwe’s priorities so as to enable it to lend technical support in the relevant priority areas,” he said.
The five-year MTP is the country’s premier economic and social document, which sets out key target areas and timelines for implementation.
It is also structured in such a way as to guide the country’s budget formulation process for the next five years.
Nonetheless, the primary challenge around its implementation is the mobilisation of funds required, which are estimated to be around US$9 billion.
To this extent, observers believe that multilateral financiers such as the AfDB can play a critical role in financing a number of projects indicated in the policy document. The AfDB is currently in the process of engaging stakeholders within its member countries as part of an initial process to develop its new LTS.
Mr Kitabire said although expectations for the role of the AfDB were high the bank would remain largely focused on issues relating to human development.
“The expectations for the role of the bank on the African continent are quite high and given resource constraints, it is not possible to meet them all.
“Issues pertaining to infrastructure development support to regional projects, private sector partnerships, inclusive growth that focuses on the rural development, women and youth as well as environmental and political issues were highlighted as the priority areas that AfDB should focus on in its LTS,” he said.
This would, however, still be in line with the focus of the MTP since it has significant leanings towards human development.
On the other hand, the majority of participants at the meeting stressed the need for the bank to focus its support to infrastructure financing, as infrastructure is a key driver of economic growth, especially infrastructure that enhances regional integration and intra-Africa trade.
Intra-Africa trade is currently not more than 12 percent. Difficulties currently being experienced in trading with Zambia and Democratic Republic of Congo, for example, are due to infrastructure-related challenges.
To this end, it was suggested that the bank could also partner with Regional Economic Communities such as the Southern African Development Community to drive these initiatives.
Emphasis was also placed on the need for the AfDB to re-engage and scale up support to the private sector, through provision of trade, project finance and skills development. Participants suggested that the bank should build capacity for public private partnerships (PPPs) by setting up a PPP Institute, so as to build capacity for PPP initiatives on the continent.
These proposals, among others, are set to be presented to the bank’s executive board for approval before the end of the year.
Online Reporter