Africa Calls for Urgent Reforms to Unlock Digital Infrastructure Funding

African financial institutions and policymakers have called for urgent reforms to the funding of digital projects, warning that poor project pipelines and weak coordination are hindering the continent’s digital transformation. The call was made during a high-level session on April 1, 2026, in Tangier, Morocco, held on the sidelines of the 58th Session of the Economic Commission for Africa (ECA) Conference of African Ministers of Finance, Planning and Economic Development.

The session, themed Financing for Innovation: The Role of African Multilateral Financial Institutions in Accelerating Africa’s Technological and Economic Transformation, brought together public and private sector leaders to address the systemic failure to bridge the gap between available capital and viable technological projects. Participants noted that while Africa’s digital economy has expanded rapidly, the momentum is threatened by a rigid financial architecture that struggles to support long-term, high-risk ventures.

The Bankability Gap

A central theme of the discussions was the paradox that Africa does not necessarily lack the capital required for a digital leap, but rather lacks the mechanisms to deploy that capital effectively. Experts identified a shortage of bankable projects—ventures that are sufficiently vetted, structured, and risk-mitigated to attract large-scale investment—as the primary bottleneck.

One of Africa’s key challenges is not a lack of capital, but a shortage of bankable projects and stronger institutional collaboration to scale investment.

Haytham Elmaayergi, executive vice president-Global Trade Bank at African Export-Import Bank

This disconnect between available funds and actual investment on the ground is compounded by several structural barriers. These include the high cost of capital, limited risk-sharing mechanisms, and currency risks. A lack of sufficient early-stage financing continues to inhibit the growth of innovation ecosystems and digital infrastructure.

Addressing Financing Shortages

Leaders at the session emphasized that the challenge facing African innovation is not a lack of ideas, but a lack of affordable and well-structured financing. Addressing these gaps is viewed as critical for unlocking productivity and job creation across the continent.

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Africa’s innovation challenge is not a shortage of ideas, but a shortage of long-term, affordable, and well-structured financing. Addressing this will be critical to unlocking productivity, job creation, and structural transformation across the continent.

Hanan Morsy, deputy executive secretary (Programme) and chief economist at the United Nations Economic Commission for Africa

To overcome these hurdles, industry leaders called for the adoption of more innovative financing models. This includes the use of blended finance and risk-sharing tools designed to better support early-stage technology ventures where risk is more difficult to structure.

In the technology space, risk is harder to structure. We need more creative financing models and dedicated funds to support early-stage innovation.

Adeniran Aderogba, president and CEO of Regional Maritime Development Bank

Strengthening Financial Architecture

The discussions highlighted a growing need to shift the center of Africa’s digital funding strategy toward African multilateral financial institutions. By placing these institutions at the forefront, the continent aims to create a more sovereign and stable financial environment tailored to the specific needs of African markets, thereby reducing reliance on volatile foreign markets and external capital.

However, experts warned that digital transformation cannot be achieved through technology alone. It requires a coordinated investment strategy that spans multiple sectors, including energy, connectivity systems, and general infrastructure. Robert Lisinge, a director at the Economic Commission for Africa, stated that the development of a strong innovation ecosystem depends on this cross-sector coordination.

The session concluded with a call for practical steps to mobilize long-term capital, expand co-financing structures, and lower the overall costs of financing. Participants warned that without stronger collaboration between governments, development partners, and African financial institutions, the continent risks missing the economic gains promised by the Fourth Industrial Revolution.