Japan and the African Development Bank (AfDB) on Thursday , unveiled a $5.5 billion financing plan under the sixth phase of the Enhanced Private Sector Assistance (EPSA) initiative to accelerate private sector growth in Africa, with priority focus on power, health, connectivity, agriculture, nutrition and resilience.
The agreement was signed at the Ninth Tokyo International Conference on African Development (TICAD9) in Yokohama by Japan International Cooperation Agency (JICA) President Dr. Akihiko Tanaka and AfDB Vice President for Power, Energy, Climate and Green Growth, Kevin Kariuki. Japan’s Finance Minister Katsunobu Kato witnessed the signing.
EPSA6 will run from 2026 to 2028 and introduces resilience as a new priority to tackle climate shocks and economic vulnerabilities. The new $5.5 billion package represents a $500 million increase over the previous phase and is more than five times the initial target set in 2005.
“This ambitious new target reflects the growing strength of our partnership,” Tanaka said. He noted that EPSA has become AfDB’s largest and longest-running bilateral programme, supporting projects in power, connectivity, health, agriculture, and nutrition. Past initiatives include Uganda’s Bujagali Hydropower Plant, the RASCOM Pan-African satellite, the East Africa Submarine Cable System, Nigeria’s Lekki Toll Road, and Rwanda’s bulk water supply system.
EPSA5, launched in 2023 with a $5 billion goal, has already mobilised $4 billion and is expected to close at $5.6 billion, surpassing its target by 112%.
Japanese Finance Minister Kato reaffirmed Tokyo’s commitment to Africa’s development, saying the continent offers “tremendous opportunities for market expansion.” AfDB’s Kariuki described Japan as one of the Bank’s strongest shareholders and a pioneer in driving private sector development.
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