Unlocking Africa’s potential by exploiting synergies and partnerships, supported by new financing instruments. This was the focus of discussions at the first Italy-Africa Business Dialogue Forum held in Rome in May at the Foreign Ministry, organised by the Ministry of Foreign Affairs and International Cooperation in collaboration with the Italian Trade Agency (ICE) and Confindustria Assafrica & Mediterraneo.
The Forum brought together 70 African delegates from 21 countries, representing 45 business associations from the continent, together with 44 Italian counterpart associations and representatives of a number of Italian companies of excellence that, for the first time in this format, held a wide-ranging dialogue on economic collaboration between Italy and Africa. The African and Italian private sector associations were the protagonists of an in-depth discussion on the prospects for collaboration in priority sectors, such as energy and digital transition, sustainable mobility, instrumental mechanics and agro-industry. The works were also attended by the Heads of the Italian Trade Agency (ICE), Cassa Depositi e Prestiti (CDP), SACE, Simest, and representatives from the Embassies of 18 African countries.
Africa, with which trade last year amounted to EUR 60 billion (of which 20 billion in exports), is a strategic priority for Italy, which is increasingly interested in developing preferential relations with the African countries and strengthening a partnership based on a win-win logic, expressed in the economic, cultural, scientific, and political dimensions. These were the key messages of the speech by the Deputy Prime Minister and Foreign Minister, Antonio Tajani, who stressed that the organisation of the Forum is an important step in the process of strengthening the economic partnership with Africa within the framework of the government’s Mattei Plan.
The Minister explained: “Through the strong action to support exports and the internationalisation of companies and territories, we aim to make Italian companies a true vehicle for sharing skills and Italian know-how. Among the concrete tools made available, the Minister mentioned the 200 million euros managed by Simest and destined for Italian companies with internationalisation projects; the opening of new ICE and CDP offices in sub-Saharan Africa; the recent strengthening of the diplomatic network in Africa, as well as the recent opening of the new Embassy in Mauritania, and the organisation of systemic missions to East and West Africa, in addition to those to Egypt and Tunisia. A centrality of Africa in the Italian government’s agenda also reaffirmed by the Deputy Minister of Foreign Affairs and International Cooperation, Edmondo Cirielli. According to the Deputy Minister, Italy has the responsibility of accompanying the economic and social development of African countries while respecting their aspirations, acting as a natural bridge between the two shores of the Mediterranean.
The joint ventures between Italy and Africa advocated by the Ministry start from the assumption of the high degree of complementarity that exists between the two economies, with the Italian one based on processing and the African one relying on its wealth of raw materials. There are particularly promising prospects for collaboration in the aerospace, healthcare, agriculture and energy sectors, not to mention the need for developing local manufacturing. The common thread of future collaboration between Italy and Africa will then be represented by a greater commitment to training and transfer of knowledge for the benefit of young Africans. These are themes that find fertile ground in the action taken in Africa by the United Nations Economic Commission (UNECA), as witnessed by its representatives at the Forum. Coordination in the major multilateral fora, collaboration in the de-risking sphere and the enhancement of the complementarity existing between Italy and Africa are the priorities of the Mattei Plan indicated by UNECA as an opportunity to establish a more fruitful partnership.
Going into greater detail, the panel dedicated to the role of the Italian System in economic cooperation with Africa highlighted the role that Italian companies can play in Africa’s industrialisation process, also thanks to ICE’s promotion and training activities, and SACE’s subsidized loans, financial instruments and export credit guarantees. Financial institutions can also play a fundamental role in the development of economic cooperation with Africa, particularly when it comes to physical and digital infrastructure, agriculture, energy, healthcare, and professional training. The regional banking system, however, must be put in a position to be a driving force for Africa’s development and growth. For this reason, the importance of cooperation to correct the perceived risk of investing in Africa was emphasised. International tenders and calls for bids, such as those supported by the World Bank, were also presented as a further multiplier of business opportunities for Italian and African companies.
The Forum also saw the signing of five memoranda between CDP and the five main African multilateral development banks present at the Foreign Ministry: Africa Finance Corporation (ADC), Banque Ouest Africaine de Développement (BOAD Development Bank of South Africa (DBSA), Eastern and Southern African Trade and Development Bank (TDB) and African Export-Import Bank (Afreximbank). The aim of these understandings is to contribute to the creation of connection and exchange opportunities between Italian and African companies, to identify possible co-funding opportunities, and to test innovative financial instruments to generate broader and lasting impacts on African countries.
The African and Italian associations, together with a group of Italian companies with experience in Africa, therefore participated in three sectoral tables on energy and digital transition (with a focus on sustainable mobility), agro-industry and instrumental mechanics. The dialogue is oriented towards the development of new collaborations. In all of these sectors, Italy is a natural partner for the African economies interested in the development of a processing industry, capable of promoting the creation of added value locally, in a modern agricultural model based on mechanisation, and in the development of exports, also and above all in view of making the African domestic market grow, for which the implementation of the African Continental Free Trade Area – AfCFTA can be decisive.
During the day, 120 B2B meetings were also held, involving the participating associations and companies, thus bearing witness to a lively mutual interest in the development of closer cooperation between companies of similar or complementary sectors.
