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Finance and National Planning Minister, Situmbeko Musokotwane, has called on the World Bank Group to sustain concessional financing for Africa while directing greater support towards productive investment and private-sector-led job creation.
Musokotwane said development assistance should serve as a stronger catalyst for economic transformation.
He made the call during an engagement between World Bank Group President, Ajay Banga, and African governors at the ongoing 2026 IMF and World Bank Group Annual Meetings in Bangkok, Thailand.
The minister cited Thailand and other Asian economies which, despite facing development challenges comparable to those in Africa several decades ago, had transformed their economies through sustained reforms, investment and stronger institutions.
“The International Development Association (IDA) remained vital as conflicts and economic shocks originating outside Africa continue to place additional pressure on developing countries,” Musokotwane said.
He called for continued international support ahead of the IDA22 replenishment, arguing that contributions to IDA should be viewed not as charity but as investments in Africa’s economic transformation and shared global prosperity.
Musokotwane said stronger African economies would expand markets, create jobs and improve livelihoods while helping address some of the economic pressures driving irregular migration.
He emphasised that social-sector financing remained essential but called for greater attention to productive capacity, industrial development and the investment conditions needed to support private-sector growth.
“Achieving that shift would require changes within both African governments and the World Bank Group, noting that public institutions need to move beyond a traditional focus on obtaining development assistance and develop expertise in preparing viable projects, structuring financing and facilitating investment,” he said.
The minister cited railway development as an example of the technical, financial and institutional capabilities required to transform infrastructure proposals into bankable projects.
Addressing the financing challenge, Banga outlined measures to attract private capital through predictable investment conditions, local-currency financing, guarantees, political risk insurance and debt-for-development arrangements.
The World Bank Group reported mobilising approximately US$22 billion in private capital across Africa in the 2026 fiscal year, compared with about US$9 billion in the 2022 fiscal year. It is targeting annual guarantee issuance of more than US$6 billion in Africa by 2030.
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Banga described risk-sharing arrangements involving multilateral development banks, guarantee agencies and international reinsurers as mechanisms that could reduce investment risks.
He also cited Angola’s debt-for-development arrangement as an example of refinancing existing obligations on more favourable terms.
On skills development, Banga cited the Lobito Corridor to illustrate the importance of aligning training with jobs expected to emerge from new infrastructure and associated investments.
For Zambia, the Ministry of Finance and National Planning said the proposed instruments could help attract investment in energy, agriculture, mining, transport and manufacturing without relying exclusively on sovereign borrowing.
However, any new sovereign financing would need to remain consistent with existing creditor agreements and Zambia’s debt sustainability objectives under the G20 Common Framework.
“The discussion reflects Zambia’s priorities under the Grow Zambia Agenda and that the initiatives outlined are potential areas for cooperation with the World Bank Group, not confirmed new financing commitments,” the ministry said.
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