The African Union’s Agenda 2063 aims to transform Africa into an inclusive, prosperous, and integrated global power. The success of this vision depends largely on the smart deployment of capital – that is, the strategic, efficient, and innovative use of available financial resources across the continent.
Abundant but Underutilized Resources
Africa has vast human capital—the youngest population in the world—and considerable natural resources. According to experts gathered at the African Development Bank’s 2025 Annual Meetings, the continent has all the assets to achieve the objectives of Agenda 2063, provided it implements appropriate public policies and effectively leverages its resources.
Domestic Resource Mobilization and Transformation
The Agenda 2063 framework document emphasizes the need to prioritize domestic resource mobilization, which could cover up to 70 to 80% of financing needs. This approach promotes greater policy ownership and better consistency with national priorities. Recommended strategies include:
- Maximizing tax revenues and domestic savings
- Reducing illicit financial flows and combating corruption
- Developing regional bond and equity markets
- Mobilizing diaspora and institutional savings
- Promoting intra-African investment and public-private partnerships
Financial innovation and diversification of sources
Innovative financing is essential to address the resource gap. Mechanisms such as green bonds, eurobonds, pension funds, financial inclusion, and public-private partnerships provide complementary solutions.
Issuing diaspora bonds or using digital platforms for savings and investment can channel new capital flows into structuring projects.
System alignment and institutional reforms
Smart deployment of capital also requires a realignment of governance and financing systems. This involves linking planning to financing, strengthening public-private collaboration, and aligning national budgets with sustainable development priorities. Integrated National Financing Frameworks (INFFs) are already being developed in several African countries to facilitate this transition.
Investing in Innovation and Strategic Sectors
Agenda 2063 recommends channeling capital into sectors with high transformational potential, including agriculture, infrastructure, education, health, technology, and the green economy. A recent example is the creation of a 60 billion USD African Artificial Intelligence Fund, intended to support innovation, startups, and digital infrastructure on the continent.
