Int’l support, private-public partnerships can address regional financing woes – Min. Walrond

As the AfriCaribbean Trade and Investment Forum gets underway, Minister of Tourism, Industry and Commerce has identified increased international support and private-public partnerships as valid mechanisms to resolving the financial challenges faced by the African and Caribbean regions.  

The minister was delivering the keynote address on a panel discussion under the theme: ‘Options for overcoming financing constraints to AfriCaribbean trade and investment cooperation’, on Monday.

In keeping with this theme, Minister Walrond identified access to financing as one of the most binding constraints to economic development, stressing the need for proactive and sustainable solutions to address this.

“The lack of access to financing results from, among other factors, limited access to capital, limited financial system infrastructure, and the lack of access to international financial institutions where capital is available at concessionary rates,” she explained.

In addressing these limitations, the tourism minister highlighted the need for Africa and the Caribbean regions to secure the necessary levels of public and private financing to address development issues.

In achieving this, seeking out private-public sector partnerships to fund infrastructure projects can help to leverage private sector expertise and capital with balanced risks and rewards. 

“Private enterprises can introduce groundbreaking technologies, inventive financing models and state of the art construction techniques, resulting in cost reduction and enhanced project outcomes. Furthermore, private sector involvement serves as an indicator to potential investors of the project’s financial viability and increased likelihood of success,” she said.

She added that there is a continued need for immediate and increased international support for many vulnerable countries. 

According to the minister, institutions such as the African Export-Import Bank (AfreximBank) and the Caribbean Development Bank (CDB) can play crucial roles in mobilising capital and mitigating risks to promote AfriCaribbean trade and investment.

She called on the two regions to work on persuading investors to implement long-term capital systems to encourage sustainable growth. This form of investment is crucial for startup businesses especially as it provides more support for entrepreneurs, allowing them the space to develop resilient business models and promote long term growth and development.