The Africa Club, an Alliance of African Multilateral Financial Institutions (AAMFI) was launched in February in Addis Ababa on the sidelines of the African Union Summit at a Heads of State dialogue hosted by H.E Nana Addo Dankwa Akufo-Addo, President of the Republic of Ghana and Champion on African Union Financial Institutions.
The Africa Club initiative aims to strengthen these institutions to enable them to respond to financial challenges and support Africa’s aspirations for economic development through enhanced integration.
These institutions are the African Export Import Bank (AfreximBank), Trade and Development Bank (TDB), Africa Finance Corporation (AFC), African Reinsurance Corporation (Africa Re) and African Trade and Investment Development Insurance (ATIDI).
While launching the club, H.E Nana Addo Dankwa Akufo-Addo called on member states to commit to re-channeling 30% of their foreign reserves to the Africa club.
Quotes
H.E. Nana Addo Dankwa Akufo-Addo, President of the Republic of Ghana said;
“As it stands, virtually all our countries hold reserves in foreign banks, at times attracting negative rates of interest … We should take a decision that a minimum of 30% of our sovereign reserves should be invested in the African multilateral institutions … to facilitate more and more resources for our development.”
H.E. Hakainde Hichilema, President of Zambia said;
“Africa must buy from itself, we must do business with each other. We have an inherent tendency when we want to buy something to look overseas and to former colonial masters. We must look inside, we must do business with each other. We are the continent that trades the least.”
H.E. William Ruto, President of the Republic of Kenya said;
“There was a time when the conversation about the Global Financial Architecture sounded like an ‘us vs them’ debate. But I am thrilled that today every capital, north to south, have agreed that there is something fundamentally wrong about the global financial architecture and something must be done about it.”
Hanan Morsy, Executive Vice President, United Nations Economic Commission for Africa
“The key priorities that have been articulated for Africa on the Global Financial Architecture are increasing the availability of affordable finance at scale, the reform of global debt architecture, amplifying Africa’s voice and representation.”
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