Accra: Ghana is set to establish an infrastructure credit guarantee scheme as part of efforts to encourage local investment in infrastructural projects. Nana Dwemoh Benneh, the Chief Executive Officer of the Ghana Infrastructure Investment Fund (GIIF), stated that the initiative is being developed in collaboration with development partners. The announcement was made during the International Building-Infrastructure and Investment Expo (IBIXPO 2025) held in Accra.
According to Ghana News Agency, the infrastructure credit guarantee scheme aims to provide assurances to pension fund managers, encouraging them to invest pension funds into project financing. This approach is expected to facilitate local currency financing and support long-term infrastructure projects in Ghana. The initiative draws inspiration from successful implementations in Nigeria and Kenya, where similar schemes have fostered local capacity to raise funds for development.
In Nigeria, the Infrastructure Credit Enhancement Facility (InfraCredit) has been pivotal since its inception in 2017. It provides local currency guarantees to improve the credit quality of debt instruments for infrastructure projects. InfraCredit, which started with an initial capital of USD 25 million, has successfully mobilized over NGN 200 billion in private investment, with tenors extending up to 20 years. This has attracted significant participation from institutional investors, with pension funds comprising a substantial portion of the investments.
Nana Benneh emphasized the importance of institutional investors, including pension funds and sovereign wealth funds, as key sources of financing for Africa's infrastructural development. He highlighted the need to address the estimated US$108 billion infrastructure finance gap in Africa by mobilizing institutional investments, which are crucial for regional integration, trade, and competitiveness.
Ms. Gizella Tetteh-Agbotui, Deputy Minister for Works, Housing and Water Resources, underscored the importance of public-private partnerships in funding infrastructure projects. She praised the objectives of IBIXPO 2025, expressing optimism that it would bridge knowledge gaps and foster partnerships to unlock investment opportunities.
Madam Eugenia France from Image Consortium Limited explained that the expo aimed to bring together key stakeholders to explore infrastructure development potential in West Africa. The event showcased innovative technologies and solutions that could transform construction and infrastructure development.
Mr. Albert Mensah, CEO of Global Afrisino, highlighted the importance of sharing successful case studies and facilitating knowledge exchange to inspire strategies for resilient and future-ready infrastructure systems. IBIXPO 2025, organized in partnership with Global Afrisino and under the auspices of the Ministry of Works, Housing and Water Resources and GIIF, focused on sustainable growth and regional integration, aiming to drive economic prosperity and enhance connectivity in the region.
