Reforms to the way multilateral financial institutions approach project finance could help overcome some of the most intractable barriers to the electrification of Africa, including fears of default and high project financing costs which drive away many potential investors. To be meaningful, changes need to be principled and generally applicable, while also anchored in the often-messy reality of doing business across the continent.
African Energy is publishing the first in a series of white papers on how this problem might be solved in a way which recognises Africa’s needs and the capabilities of institutions, without introducing moral hazard.
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