ShafDB Secures Support From African Ministers For Capital Raising Initiatives

African ministers of housing, urban planning, and development have pledged to support capital-raising initiatives by the Shelter Afrique Development Bank (ShafDB).

This commitment was made during the 43rd Annual General Meeting of ShafDB held in Kigali, Rwanda, focusing on financial innovations to achieve housing affordability.

“There is a need to strengthen Shelter Afrique Development Bank with a focus on addressing capital, improving financial stability, and fostering partnerships to enable the institution to fulfill its mandate and address the housing deficit across Member States,” said Erastus Uutoni, Namibia’s Minister of Urban and Rural Development.

Ministers emphasized the importance of developing innovative and sustainable financing mechanisms to address Africa’s growing housing deficit. They also called for collaborative efforts involving countries, the private sector, and financial institutions to ensure access to affordable housing.

“There is a need for a comprehensive approach that considers both the financial and economic aspects to overcome housing challenges. Affordable housing is key for family well-being and economic resilience,” stated Jimmy Gasore, Minister of Infrastructure for the Republic of Rwanda and the incoming ShafDB AGM Bureau Chairman.

Partnership with BADEA

During the roundtable, the Arab Bank for Economic Development in Africa (BADEA) presented an innovative financing model for partnership with ShafDB and its member states. This model aims to increase ShafDB’s capital, enhancing its activities and impact.

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“I would like to thank BADEA for its interest in working with Shelter Afrique Development Bank and its member States to support the capitalisation initiative and replenishment of ShafDB. This unique funding model will be key in supporting ShafDB achieve its 2023-2027 Strategic Plan anchored on the VIRAL Model,” said Thierno Habib Hann, Managing Director and CEO of ShafDB.

Hann noted that this initiative would enhance ShafDB’s financial strength, increase its social and developmental impact across member states, and strengthen the partnership between BADEA, ShafDB, and member states. He added that several member states had already shown interest in joining the BADEA-ShafDB partnership.

The ministers also pledged to continue advocating for appropriate housing policies, institutional support mechanisms, public-private partnerships, innovation in housing finance, and infrastructure support to address the housing crisis in Africa.

Looking Forward

The ministers’ support for ShafDB’s capital-raising initiatives signifies a collective effort to tackle the housing challenges faced by African countries. By focusing on innovative financing and strategic partnerships, ShafDB aims to fulfill its mandate of providing sustainable and affordable housing across its member states.

As the meeting concluded, the commitment to fostering financial stability and strengthening partnerships was highlighted as a crucial step toward achieving housing affordability and improving the quality of life for millions across the continent.