Thursday, October 15, 2026
No menu items!
type here...
Home Blog

Rwanda Secures 10-Year Formula 1 Deal as Racing Returns to Africa After Three Decades

ADMIN WBJAC
-
0
Rwanda Secures 10-Year Formula 1 Deal as Racing Returns to Africa After Three Decades

Rwanda Secures 10-Year Formula 1 Deal as Racing Returns to Africa After Three Decades

The planned African Grand Prix will put Rwanda on the Formula 1 calendar in the early 2030s, with the country aiming to connect international motorsport with tourism, infrastructure investment and opportunities for local businesses.

Rwanda has secured a 10-year agreement to host a Formula 1 Grand Prix, paving the way for the championship’s return to Africa after more than three decades. Announced in Kigali on 13 October 2026, the agreement provides for a new circuit in Bugesera, south of the capital, with the first race planned for the early 2030s. The inaugural race date has not yet been confirmed, according to Formula 1.

The project places Rwanda at the centre of efforts to bring the world’s leading motorsport championship back to the continent. The last Formula 1 World Championship race held in Africa took place at South Africa’s Kyalami circuit in 1993. Rwanda’s planned Grand Prix will add a new destination to the championship while giving the country an opportunity to connect an internationally recognised sporting event with its wider economic ambitions.

According to Formula 1, the Rwanda Development Board will lead the broader development, which combines motorsport with tourism, infrastructure and commercial facilities. The proposed circuit is intended to meet the FIA’s Grade 1 standards, the highest circuit classification required for Formula 1 competition.

Bugesera at the Centre of Development

The circuit is planned for Bugesera District, approximately 40 kilometres south of Kigali, in an area also associated with the development of Rwanda’s new international airport. The location creates scope to coordinate transport infrastructure, accommodation and visitor services around the circuit, although the extent of these connections will depend on how the projects progress.

For Rwanda, the commercial significance extends beyond constructing a venue capable of hosting a Grand Prix. An international race requires a network of supporting services, from logistics and hospitality to catering, security, technical maintenance and event management. Construction and subsequent operations could also create opportunities for contractors, suppliers and service providers.

Formula 1 has indicated that the proposed venue is intended to accommodate activities beyond the Grand Prix itself, potentially including other motorsport competitions, conferences, entertainment and major events. A broader programme could help generate commercial activity throughout the year rather than concentrating the circuit’s use around a single race weekend.

The financial implications remain to be established. The announcement has not provided a final construction budget or quantified the expected economic return, making the financing arrangements and development schedule important details to follow as the project advances.

Tourism and Opportunities for Local Businesses

A Formula 1 race attracts teams, sponsors, broadcasters, corporate guests and spectators from international markets. For the host country, the opportunity lies in translating that visitor traffic into expenditure across accommodation, restaurants, transport and other tourism services.

Rwanda could also create opportunities for domestic companies to supply goods and services required for the event. Businesses in hospitality, catering, construction, transport and technical services may be positioned to participate, depending on procurement requirements and the commercial arrangements established by the project partners.

For small and medium-sized enterprises, access will be a key consideration. Supplier qualification, technical standards, financing and workforce capacity will influence which companies can compete for contracts. Clear procurement pathways and opportunities to build specialised skills would help determine how much of the project’s commercial activity reaches the domestic economy.

The development could also increase demand for expertise in engineering, digital technology, circuit maintenance, event operations and safety management. Training and knowledge-transfer programmes could allow Rwandan workers to build capabilities that remain valuable beyond the initial race.

These opportunities should not be confused with guaranteed outcomes. The official announcement has not established quantified targets for employment, local procurement, visitor spending or the Grand Prix’s contribution to gross domestic product. Their eventual scale will depend on the project’s cost, implementation and the participation of local businesses.

Rwanda Builds on Its International Events Strategy

Rwanda has previously hosted major international gatherings, including the 2023 FIFA Congress and the FIA General Assemblies and FIA Awards Ceremony in Kigali in 2024. Formula 1’s announcement cited the country’s experience in hosting international events as part of the background to the agreement.

The Grand Prix extends that approach into one of the world’s most commercially prominent sporting competitions. Alongside international exposure, Formula 1 can create opportunities for relationships with sponsors, hospitality operators, technology providers and other businesses involved in the championship.

President Paul Kagame addressed the wider economic rationale in his announcement speech in Kigali on 13 October. He presented the partnership as an opportunity to develop economic activity around tourism, hospitality and entertainment, while enabling African countries to capture more of the commercial value associated with international sport.

For Rwanda, the outcome will depend on how effectively the event is integrated into the wider economy. International visibility can bring attention to a destination, but lasting returns require investment, capable domestic suppliers, workforce development and commercial activity that continues after the race.

Investment and Delivery Will Determine the Return

The 10-year agreement gives Rwanda a framework for preparing to host Formula 1, but the next stage will involve turning the commitment into an operational circuit. Construction, supporting infrastructure, technical approval and confirmation of the first race date remain important milestones.

Investors and businesses will be watching for further details on project financing, construction contracts, supplier requirements and commercial partnerships. These will help establish where private-sector participation is possible and how the circuit may connect with other investment activity in Bugesera.

The economic assessment will also need to consider the costs of building and operating the venue alongside potential benefits such as tourism expenditure, domestic contracting, employment and skills development. The circuit’s ability to attract events throughout the year will be another factor in determining whether the investment generates value beyond the Formula 1 calendar.

Rwanda’s 10-year Formula 1 agreement marks a new chapter in the country’s international sporting and investment ambitions. As preparations advance, the development of the Bugesera circuit will bring together motorsport, infrastructure, tourism and commercial activity, with the potential to create opportunities for domestic businesses and strengthen Rwanda’s position as a destination for major international events.

Critical Resources Advances Due Diligence on Two Suriname Gold Projects

ADMIN WBJAC
-
0
Critical Resources Advances Due Diligence on Two Suriname Gold Projects

Critical Resources Advances Due Diligence on Two Suriname Gold Projects

Critical Resources Limited is preparing initial exploration programmes at Gonini and Greenstars in Suriname as it progresses due diligence on proposed acquisitions covering approximately 199 square kilometres.

Critical Resources Limited (ASX: CRR) is advancing preparations for gold exploration in Suriname, where management is conducting on-site due diligence and coordinating the next steps for two proposed project acquisitions.

According to the company’s ASX announcement of 12 October 2026, the work covers the Gonini and Greenstars Gold Projects and includes reviewing project information, engaging with relevant stakeholders and preparing a field team for initial sampling.

The combined project area comprises approximately 199 square kilometres of granted gold mining rights, according to Critical Resources. The proposed transactions have not yet been confirmed as complete and remain subject to the applicable conditions precedent.

The immediate objective is to establish the technical and operational groundwork for field investigations. Critical Resources is preparing verification sampling at Greenstars and an initial sampling programme at Gonini, with further geochemical work planned to investigate areas considered prospective.

These activities are intended to help the company assess the geological characteristics of the project areas and determine where subsequent exploration may be warranted. No results from the planned programmes were reported in the 12 October announcement.

Geological assessment guides the next phase

Gonini is situated in the Sara Creek district within Suriname’s Marowijne greenstone belt. Greenstars lies in the Para District, approximately 35 kilometres west of Zijin Mining’s Rosebel gold mine, while Gonini is approximately 66 kilometres from Newmont’s Merian operation, according to the company.

The proximity of the projects to established gold mines provides regional context for the exploration programme, but does not demonstrate the presence of an economic deposit within either project area.

Critical Resources is also using specialist geological interpretation to guide its assessment of potential mineralisation. In a separate announcement dated 5 October 2026, the company disclosed its engagement of GexplOre, a group of specialists working across the Guiana Shield, to examine structural controls associated with gold deposits.

That earlier work forms part of the technical assessment underpinning the company’s exploration planning. The latest announcement focuses on progressing due diligence and preparing for field activities.

Acquisition completion and sampling results remain key milestones

Critical Resources has indicated that it is assessing additional opportunities in Suriname alongside its work on Gonini and Greenstars. Any expansion would depend on the company’s subsequent decisions and the outcome of its ongoing project assessments.

For now, the next milestones are the resolution of outstanding acquisition conditions, mobilisation of the field team and commencement of the proposed sampling programmes.

The distinction between exploration preparation and established mineral potential remains important. Critical Resources has not reported a mineral resource or ore reserve for either project in the latest announcement, nor has it presented results demonstrating the grade, scale or economic viability of a gold deposit.

The planned investigations will provide the company with an initial basis for evaluating the ground and determining whether further exploration is justified.

Uganda Prime Minister Robinah Nabbanja on Where the Next Wave of Investment Will Come From

ADMIN WBJAC
-
0
Uganda Prime Minister Robinah Nabbanja on Where the Next Wave of Investment Will Come From

Uganda Prime Minister Robinah Nabbanja on Where the Next Wave of Investment Will Come From

World Business Journal talks to Rt. Hon. Robinah Nabbanja, Prime Minister of Uganda and Leader of Government Business in Parliament, about turning Uganda’s $500 billion economic ambition into investment, jobs and growth -and the reforms and government coordination needed to deliver it.

Uganda’s Tenfold Growth Strategy targets a $500 billion economy by 2040. Which investment opportunities today have the greatest potential to accelerate progress toward that target?

The major opportunities are in the four core growth sectors of the Tenfold Growth Strategy: ATMS – agro-industrialisation, tourism, minerals, and science and technology.

In agro-industrialisation, we need to boost value addition through agro-processing for export, while meeting global market standards as a core principle. This has already started, with UNBS under the Ministry of Trade and the Food Safety Standards Authority under MAAIF enforcing standards for domestic consumption and exports.

Investment opportunities exist in agro-processing and industrial development. Through programmes such as the Parish Development Model (PDM), we are mobilising people to increase production and productivity, with opportunities for investors to join as nucleus farmers producing for export.

There is also scope for investment in packaging technology, fertiliser production, improved animal breeds, feeds and seeds, as well as expanding and adding value to established crops such as coffee and cocoa. Fruit processing offers opportunities for domestic and international markets, including pineapple, mangoes and oranges.

In tourism, Uganda is one of the best tourism destinations in the world. While we already attract visitors, we need to increase their numbers and length of stay. Opportunities include modern hotels and expanding tourism products such as cultural heritage, faith-based tourism and agro-tourism.

The third is mineral development. We have significant deposits of oil and gas, gold, iron ore, copper, cobalt, phosphate and other minerals, creating opportunities in exploration, extraction and processing. We want, for instance, to export gold at 99.9% purity.

With the East African Crude Oil Pipeline completed, we are seeking investment in the downstream oil and gas sector so we can also export refined products.  First oil is expected by December, and we have named the oil “Pearl Sweet”. Further opportunities exist in oil and gas exploration, with only 40% of the Albertine Graben explored.

We also need plants to process phosphate into commercial fertilisers. Our mineral reserves include 300mn tonnes of iron ore, 54.9mn tonnes of vermiculite, 500mn tonnes of limestone and marble, 4.5mn tonnes of copper, 1.7bn tonnes of graphite, 3bn tonnes of aluminous clay rich in rare earth elements, 230mn tonnes of phosphate and 221,125kg of gold.

The fourth ATM is science, technology and innovation. We are using ICT, the creative industries and technological advancement to build a competitive, knowledge-based economy. Opportunities include medical equipment and vaccine manufacturing, vehicle production through Kiira Motors, electronics using our mineral resources, and creative and entertainment facilities

Uganda has long pushed for more value addition and fewer raw material exports. What is still holding back greater investment in production, processing, and manufacturing?

We have established industrial parks in Namanve, Mbale, Buikwe and Kapeeka, with more underway. More than 18 industrial training hubs have also been established under the presidential initiative.

We are also reducing the cost of doing business. Investment in power generation has enabled electricity tariffs for extra-large and large manufacturers to fall from around $0.08 to $0.05 per kWh.

To reduce the cost of finance, Government has capitalised the Uganda Development Bank to provide low-interest loans for production, processing and manufacturing. More patient capital, with affordable terms and longer repayment periods, is also needed to help low-income earners start small and grow their businesses.

Transport costs are also being reduced through rehabilitation of the MGR, expanded tarmac road links, and ongoing construction of the SGR from Malaba to Kampala, linking with Kenya’s network and beyond.

Uganda has been named one of Africa’s best investment destinations, and we continue to improve the investment climate through tax and non-tax incentives. The Uganda Investment Authority serves as a one-stop centre for investors, helping simplify the investment process.

After five years at the center of government, where do you see the biggest gap between policy decisions and results on the ground, and what needs to change in how government operates to close that gap?

The main gap I found when I came into office was coordination in implementation. Since then, government has introduced programme-based budgeting to address it. For example, cold rooms had been built in fishing areas without nearby power. The Ministries of Agriculture, Energy, and Works and Transport now coordinate roads, electricity and production.

This approach has strengthened implementation across government. Over the last five years, we achieved 88% of our 2021–2026 manifesto commitments, with the remaining 12% carried into the 2026–2031 manifesto.

As a leader of government business with a central role in shaping the legislation behind Uganda’s economic agenda, where do you see the biggest legislative gap between Uganda’s economic ambitions and what businesses and investors actually need from government?

Uganda has no shortage of economic strategies. The priority now is legislation that makes them implementable through regulatory coherence, predictable taxation, faster approvals, stronger contract and property rights, and streamlined licensing and dispute resolution.

Parliament’s role is to ensure these laws work together to reduce the cost and barriers to doing business. Some reforms are already partly implemented, with further progress expected this term

As Uganda’s first woman Prime Minister, now serving a second term, what has your first term taught you about leadership, and what will you do differently?

My first term taught me that leadership is not only about setting priorities, but ensuring they are carried through. I began by personally monitoring programmes and projects in the field; today, more Ministers are doing the same. My role has evolved toward stronger coordination and mentoring. Building on that experience, I will work more closely with Ministries, Departments, Agencies and Local Governments to strengthen implementation and keep government focused on results.

International investors form their view of Uganda through what government communicates, what they read, and what they experience on the ground. In your opinion, which part of Uganda’s investment story still needs to be better understood internationally?

Uganda’s investment story is not about one advantage; it is about the strength of what we offer together – peace and stability, 7.5% projected growth, strong returns with most investors recovering their capital within five to seven years, abundant natural resources, expanding infrastructure and energy, and a young population.

More than 71% of Ugandans are under 35, giving us a young workforce and growing market. We have fertile soils, two rainy seasons, abundant freshwater, and a stable currency. Infrastructure is expanding across road, rail, water and air, while we target 52,000MW of generation capacity by 2040 through hydropower, solar, geothermal, nuclear and wind.

These fundamentals are the foundation of Uganda’s investment proposition and the story we need the world to understand.

Doha Investment Sets a New Course for Qatar’s Domestic Portfolio

ADMIN WBJAC
-
0
Doha Investment Sets a New Course for Qatar’s Domestic Portfolio

Doha Investment Sets a New Course for Qatar’s Domestic Portfolio

Qatar has launched Doha Investment, a new platform within the Qatar Investment Authority (QIA) that will manage and develop its domestic investment portfolio as the country looks to broaden private-sector participation and build the next generation of national companies.

The launch was announced by Sheikh Mohammed bin Abdulrahman bin Jassim Al Thani, Prime Minister and Minister of Foreign Affairs, at the Qatar Economic Forum’s UNGA Special Edition in New York on September 20. According to QIA, the platform will focus on strengthening established national champions, developing new businesses in priority non-hydrocarbon sectors and creating greater opportunities for private investment.

Doha Investment will oversee a portfolio of more than 40 companies with operations reaching more than 80 markets worldwide.

Among the established holdings are Qatar Airways Group, QNB Group, Ooredoo Group, Qatari Diar, Katara Hospitality and Hassad Food.

The portfolio spans financial services, transport and logistics, telecommunications and technology, real estate, hospitality, food and agriculture. QIA said more than 20 companies in the portfolio generated revenues of more than QAR 1 billion in 2025.

The new platform will also look beyond the established portfolio. Its mandate includes developing new national champions in areas such as advanced technologies, manufacturing, supply chains and healthcare. Qai, a national artificial intelligence platform, is among the initiatives identified as part of this wider focus.

Sheikh Faisal bin Thani bin Faisal Al Thani, Minister of Commerce and Industry, has been appointed Managing Director and Vice Chairman of Doha Investment. He will lead an investment approach centred on working with portfolio companies to identify opportunities for expansion, improve competitiveness and create additional value over the long term.

The model is intended to go beyond conventional portfolio management. Doha Investment plans to work alongside company management teams while partnering with domestic and international investors to combine capital, expertise and technology. The objective is to help established businesses expand while creating the conditions for new companies to scale.

The Ministry of Foreign Affairs said the platform builds on three decades of investment in infrastructure, institutions and companies. The next task, it said, is to make greater use of those foundations while giving the private sector a larger role in economic growth.

That ambition also extends to the capital markets. The government said Doha Investment is expected to support the growth of high-value companies, deepen domestic capital markets and strengthen the environment for international investors. The platform is also intended to contribute to high-skilled employment, more resilient local supply chains and the development of national talent.

The initiative forms part of the Third National Development Strategy, which places private enterprise at the centre of efforts to build a more diversified and sustainable economy. QIA describes Doha Investment as a vehicle for supporting existing portfolio companies as they evolve, while building new national champions capable of competing internationally.

The timing also gives the platform a wider role in the investment cycle. At the same forum, the Prime Minister outlined almost US$38.5 billion in new infrastructure projects planned over the next five years, alongside an expected US$22.5 billion of private investment in real estate and hospitality projects. Together, the opportunities represent more than US$60 billion in planned projects and investment over the period.

Doha Investment therefore arrives with a mandate that reaches beyond the management of existing state holdings. Its challenge will be to turn an established base of companies into a stronger platform for private capital, new businesses and international partnerships — and, in the process, give the domestic economy a broader set of engines for growth.

LuSE Signs Africoin and AFRINEX MoUs to Advance Tokenisation and Regional Capital Access

ADMIN WBJAC
-
0
LuSE Signs Africoin and AFRINEX MoUs to Advance Tokenisation and Regional Capital Access

LuSE Signs Africoin and AFRINEX MoUs to Advance Tokenisation and Regional Capital Access

The Lusaka Securities Exchange (LuSE) is advancing its capital-market development on two fronts, with new partnerships focused on tokenisation and blockchain-based infrastructure, alongside stronger regional market connectivity.

A Memorandum of Understanding signed with Africoin on 1 October 2026 in Livingstone focuses on applying tokenisation and blockchain technology to capital markets, opening a new avenue for the exchange as it looks at how digital infrastructure can support the evolution of securities markets.

At the same time, an agreement with AFRINEX strengthens LuSE’s links with the wider African capital-market network, creating potential channels for connecting Zambian issuers and investors with regional capital and liquidity while increasing the visibility of investment opportunities listed in Lusaka.

LuSE–AFRINEX Limited MoU signing

 

Both agreements were signed during the Zambia Capital Markets Conference and Awards (ZCMCA) 2026, held from 30 September to 2 October at the Avani Victoria Falls Resort. Hosted by LuSE, the conference brought together policymakers, regulators, investors, financial institutions and market participants to discuss the development of Zambia’s capital markets.

Tokenisation and the future of capital markets

Tokenisation creates a digital representation of an asset or financial instrument using distributed-ledger technology. Within regulated markets, it can change how securities are issued, transferred and settled, while supporting new approaches to ownership, investment and market infrastructure.

LuSE–Africoin MoU signing

Tokenisation was also a dedicated theme at ZCMCA 2026. A panel titled “Will Tokenisation Transform African Capital Markets by 2030?” included Reginald Tumusiime, linking the conference discussion directly to the partnership with Africoin.

International financial markets are already examining how tokenisation can operate alongside established infrastructure. In September 2026, the European Central Bank launched Pontes, enabling wholesale transactions involving tokenised assets to settle in central bank money. The ECB said the system is part of its broader strategy for integrating tokenised finance into the financial system.

The Bank of England’s Project Meridian Securities has similarly tested how tokenised securities can be settled against central bank money, including delivery-versus-payment transactions and programmable liquidity-management applications.

For Zambia, the practical value of the LuSE–Africoin partnership will depend on how tokenisation can be integrated into regulated market infrastructure, including investor protection, custody, cybersecurity, settlement, liquidity and interoperability with existing systems.

Africa moves towards digital market infrastructure

African markets are also examining applications for tokenised assets. South Africa’s Project Khokha 2, led by the South African Reserve Bank, explored the use of distributed-ledger technology for tokenised securities and wholesale central-bank money, including implications for securities trading and settlement.

These developments point to a wider evolution in financial-market infrastructure, with exchanges and financial institutions assessing how distributed-ledger technology can support securities issuance, ownership and settlement within established regulatory frameworks.

The LuSE–Africoin partnership therefore places tokenisation within a broader capital-market discussion: not simply whether securities can be represented digitally, but how digital infrastructure could interact with the systems governing issuance, trading, settlement and investor participation.

Regional capital-market connectivity

The AFRINEX agreement addresses another part of that market-development equation: access and connectivity.

AFRINEX is a Mauritius-based, multi-currency and multi-asset exchange offering platforms for listing, trading and capital raising across asset classes, alongside clearing and depository services. Its recent partnerships have focused on extending cross-border market access. In August 2026, AFRINEX and the Rwanda Stock Exchange signed an MoU covering cross-border investment and capital-market integration. Earlier this year, AFRINEX and India INX agreed to cooperate on areas including dual listings, investor reach and joint product development.

For LuSE, stronger links with AFRINEX could connect Zambian issuers and investors to a broader pool of regional capital and liquidity. For companies seeking investment, wider market access can expand the potential investor base; for investors, stronger exchange links can provide additional routes into opportunities across African markets.

The partnership can also increase the visibility of Lusaka-listed companies and investment opportunities within a wider regional market. Over time, stronger connectivity could support greater participation by investors looking for long-term exposure across African capital markets.

Building the market from both sides

The two partnerships address complementary challenges facing modern capital markets: how markets can evolve their infrastructure and how effectively they can connect issuers and investors to capital beyond their domestic base.

Africoin brings the tokenisation and blockchain dimension, while AFRINEX brings a regional connectivity and capital-access dimension. Together, the agreements give LuSE two avenues for developing its market – combining technological evolution with stronger links to the African investment landscape.

Zambia cuts key interest rate to 10.75% as inflation eases

ADMIN WBJAC
-
0
Zambia cuts key interest rate to 10.75% as inflation eases

Zambia cuts key interest rate to 10.75% as inflation eases

The Bank of Zambia (BoZ) has cut its benchmark Monetary Policy Rate (MPR) by 250 basis points to 10.75% from 13.25%, marking a substantial easing of monetary policy as inflation moves further into the central bank’s target range.

The decision was taken at the Monetary Policy Committee meeting on September 28–29 and follows a smaller 25-basis-point reduction in May, when the MPR was lowered to 13.25%.

The latest move comes as Zambia’s inflation environment has improved significantly. Annual inflation stood at 6.1% in September, down from 6.2% in August, according to the latest information from the central bank. The rate is now within the BoZ’s 6–8% target range.

The easing reflects the sharp improvement from the beginning of the year, when inflation was still above the target range. In February, the BoZ noted that inflation had fallen to 9.4% in January and projected that it would move into the target band during the second quarter of 2026.

The significance of the latest decision extends beyond the policy rate itself. The MPR is an important reference point for financial-market conditions and influences the cost at which banks and other financial institutions obtain and price funds.

For businesses, a lower policy rate can create room for cheaper credit, potentially improving the economics of working-capital facilities, business expansion and new investment. It can also improve financing conditions for households and contribute to stronger economic activity.

The transmission will not necessarily be immediate or equal to the full 250-basis-point reduction. Commercial lending rates are influenced by a range of factors, including banks’ funding costs, credit risk and liquidity conditions. The key issue for the private sector will therefore be how much of the policy easing is passed through to borrowers.

The decision also reflects improving macroeconomic conditions more broadly. Earlier in 2026, the BoZ identified the appreciation of the Kwacha and stronger agricultural output as important factors behind the decline in inflation. Its May monetary policy assessment projected average inflation of 6.8% for 2026 and 6.1% for 2027, while noting risks from factors including oil prices and weather conditions.

For investors, the lower interest-rate environment changes the financing backdrop for Zambia’s economy. If the reduction feeds through to commercial lending, it could lower the cost of capital for companies and improve conditions for investment. The extent of that effect will depend on credit demand, banking-sector transmission and the durability of the decline in inflation.

The BoZ’s challenge will be to maintain the gains in price stability while allowing monetary conditions to support economic activity. Its earlier policy statements have emphasised that future decisions will continue to be guided by inflation outcomes, forecasts and risks to financial stability.

The move to 10.75% therefore marks an important shift in Zambia’s monetary environment: from containing elevated inflation toward creating greater room for financing and economic activity, while keeping price stability at the centre of monetary policy.

Gavi approves additional $189 million to expand Africa’s vaccine manufacturing capacity

ADMIN WBJAC
-
0
Gavi approves additional $189 million to expand Africa’s vaccine manufacturing capacity

Gavi approves additional $189 million to expand Africa’s vaccine manufacturing capacity

Gavi, the Vaccine Alliance has approved an additional US$189 million to support the development of Africa’s vaccine manufacturing industry, expanding its financial commitment as manufacturers move towards regulatory approval and commercial production.

The funding will be added to the African Vaccine Manufacturing Accelerator (AVMA), a 10-year, US$1 billion financing mechanism launched in 2024 to help reduce the financial barriers facing vaccine producers on the continent. Gavi’s Board approved the additional funding at its 1–2 July 2026 meeting.

Of the new allocation, US$139 million will be used to purchase eligible vaccines manufactured in Africa, while US$50 million will support measures aimed at strengthening the wider manufacturing ecosystem. Gavi said the ecosystem funding will be implemented with the Africa Centres for Disease Control and Prevention, the African Medicines Agency and the World Health Organization.

The additional financing is intended to address both sides of the manufacturing challenge: helping producers reach the market while creating demand for vaccines that meet the required regulatory and procurement standards. The procurement component will operate through Gavi-UNICEF tender processes for qualifying vaccines.

AVMA was launched in June 2024 with the objective of creating commercially sustainable vaccine production capacity in Africa. Rather than providing conventional grants alone, the mechanism uses milestone-based incentives linked to manufacturing, regulatory and supply achievements.

Gavi reported in July that 13 technology-transfer arrangements were underway across six African countries, with eight African-manufactured vaccine products on a credible pathway towards WHO prequalification. The organisation also said about US$3 billion in complementary financing had been mobilised since AVMA was launched.

The programme emerged from a structural weakness exposed during the COVID-19 pandemic, when African countries relied heavily on international supply chains for vaccines. In its May announcement on the proposed additional financing, Gavi said Africa accounted for about 20% of the world’s population but only 0.1% of global vaccine production at the time.

For manufacturers, the new funding addresses a critical commercial issue: production capacity alone does not guarantee a viable market. By combining incentives for manufacturers with a commitment to purchase qualifying African-made vaccines, AVMA+ is designed to reduce some of the demand uncertainty associated with establishing new production lines.

Gavi’s current AVMA framework also differentiates incentives according to the extent of manufacturing undertaken in Africa. Eligible activities include full vaccine manufacturing as well as fill-and-finish operations, subject to the programme’s regulatory and eligibility requirements.

The first AVMA milestone payment is expected in late 2026, according to Gavi’s July Board documents. The organisation has said that the first vaccines supported by the programme could potentially reach deployment from 2027, although this depends on manufacturers achieving the necessary regulatory and commercial milestones.

The additional US$189 million therefore marks a further step in Gavi’s effort to build an African vaccine manufacturing base that can participate in global and regional supply chains. Its longer-term impact will depend on whether manufacturers can translate the financial support, technology transfers and procurement opportunities into sustainable production at commercial scale.

Canada moves to unlock $1 trillion in new investment

ADMIN WBJAC
-
0
Canada moves to unlock $1 trillion in new investment

Canada moves to unlock $1 trillion in new investment

Canada is moving to make investment a central pillar of its economic strategy, combining tax changes, faster project approvals and new infrastructure initiatives as Prime Minister Mark Carney targets $1 trillion in investment over five years.

The first Canada Investment Summit, held in Toronto on September 14–15, brought together investors from nearly 30 countries managing more than $100 trillion in assets. According to the Office of the Prime Minister, the summit resulted in nearly $500 billion in new investment commitments for Canada.

The government is seeking to build on that momentum by lowering the cost of new investment. At the summit, Carney announced the Productivity Mega Deduction, expanding immediate expensing to more than 65% of capital assets, compared with roughly 15% previously. Eligible investments include mining property, pipelines, fibre-optic infrastructure, software, research and development, computer equipment, rail, bridges and roads.

The Office of the Prime Minister says the measure will reduce Canada’s marginal effective tax rate on new business investment from about 13% to 6.4%, less than half the comparable U.S. rate. Immediate expensing will also become permanent, allowing businesses to recover eligible investment costs sooner.

The new incentive builds on measures introduced in Budget 2025, which included a Productivity Super-Deduction covering eligible machinery, equipment and technology. The government has also reduced taxes on income, capital gains and new business investment, according to the Prime Minister’s Office.

Tax competitiveness is being matched by an effort to bring more capital into major projects. Since September 2025, 27 nation-building initiatives have been referred to Canada’s Major Projects Office, representing approximately $500 billion in potential private investment, the Prime Minister’s Office says.

Energy, critical minerals, artificial intelligence and defence are among the sectors being targeted. The government has committed approximately $140 million through the Canada Growth Fund to support the Marathon critical-minerals project in Ontario, while the Business Development Bank of Canada is deploying new financing for Canadian defence and dual-use technology companies.

The summit also highlighted the role of institutional capital. Canada’s pension funds, insurers and other institutional investors announced nearly $100 billion in new capital for Canadian assets, while the country’s major banks committed nearly $325 billion in new financing for Canadian businesses and infrastructure, according to the Prime Minister’s Office.

One of the largest individual announcements came from Bell Canada and the Government of Saskatchewan, which announced a $52.5 billion AI infrastructure hub with 1.2 gigawatts of capacity. The project is expected to create more than 4,500 jobs and represents the largest investment in Saskatchewan’s history.

Canada is also seeking to use existing infrastructure to attract additional private capital. The government plans to pursue long-term concessions for the operation of the country’s four largest airports while retaining public ownership of the underlying land and assets. The Prime Minister’s Office says capital raised could be reinvested in regional airports, transportation infrastructure and a national broadband backbone.

For Carney, the investment proposition extends beyond individual incentives or projects. The Prime Minister’s Office points to Canada’s critical-mineral reserves, energy resources, skilled workforce, AAA credit rating and lowest net debt-to-GDP ratio in the G7, alongside preferential trade access to 1.5 billion consumers across 51 countries.

The government is also seeking to reduce the time required to bring major projects to market. Carney has said Canada can maintain high regulatory standards while moving towards a “one project, one review, one year” approach for major developments.

The strategy is therefore built around a combination of lower investment costs, access to resources and markets, infrastructure and faster project delivery. The immediate objective is to turn the commitments announced in Toronto into projects and productive capacity across the Canadian economy.

As Carney told investors at the summit, “Canada is building big. Build with us.”

Romania secures €630 million EIB financing for Brașov-Sighișoara railway upgrade

ADMIN WBJAC
-
0
Romania secures €630 million EIB financing for Brașov-Sighișoara railway upgrade

Romania secures €630 million EIB financing for Brașov-Sighișoara railway upgrade

Romania is moving ahead with a major investment in its rail network after the European Investment Bank (EIB) signed a €630 million financing agreement for the modernisation of the Brașov–Sighișoara railway in central Romania.

The financing will support a broader €2.25 billion project involving European Union funding and a contribution from the Romanian state, according to the EIB. The programme covers 113 kilometres of double-track, electrified railway connecting Brașov with Sighișoara.

The railway is part of two European transport corridors: the Rhine-Danube corridor and the Baltic Sea–Black Sea–Aegean Sea route. Upgrading the line is expected to improve its role in Romania’s connections with the wider European rail network, while increasing the capacity available for both passengers and freight.

Once modernisation is completed, passenger trains will be able to operate at speeds of up to 160 km/h and freight services at up to 120 km/h. The EIB estimates that the route could serve around four million passengers annually and carry approximately six million tonnes of freight.

The project is also designed to accommodate more traffic on the line, with capacity planned for up to 29 passenger trains and 22 freight trains a day. Longer and heavier freight trains will also be able to operate on the upgraded infrastructure.

Technology will form another part of the investment. The railway will receive the European Rail Traffic Management System (ERTMS), supporting interoperability and safer train operations across the European network. Stations and stops along the route are also due to receive improvements aimed at making rail travel more accessible, including for people with reduced mobility.

For Romania, the investment comes as the country seeks to strengthen transport infrastructure and improve the efficiency of connections between regions and European markets. Better rail capacity could also provide businesses with an alternative route for moving goods while improving passenger connections across central Romania.

The EIB expects the upgraded railway to encourage greater use of rail for both passenger and freight transport. This could reduce pressure on roads and contribute to lower congestion, accidents, noise and transport-related emissions.

The project has also received advisory support from the EIB during its preparation and implementation. The Bank’s involvement follows approval of the project within its financing programme and adds European investment to Romania’s national infrastructure priorities.

The Brașov–Sighișoara upgrade therefore represents more than a domestic railway investment. Its connection to major European transport corridors places the project within the broader effort to improve cross-border rail connectivity and strengthen the movement of people and goods across the European transport system.

Global FDI rebounds to $1.6 trillion, but investment remains concentrated

ADMIN WBJAC
-
0
Global FDI rebounds to $1.6 trillion, but investment remains concentrated

Global FDI rebounds to $1.6 trillion, but investment remains concentrated

Global foreign direct investment returned to growth in 2025, reaching $1.6 trillion after two consecutive years of decline. But the recovery was far from evenly distributed, with developed economies and a handful of strategic industries capturing much of the increase.

The World Investment Report 2026, published by UN Trade and Development (UNCTAD), shows that global FDI rose 6% last year. Investment into developed economies increased 11% to $723 billion, while flows to developing economies grew by only 2%, reaching $901 billion.

The figures point to a changing investment landscape in which the destination and nature of capital are becoming as important as the overall volume. Increasingly, investors are favouring large-scale projects tied to technology, energy and industries considered critical to future economic growth.

Developing markets see mixed results

Developing Asia remained the largest recipient among developing regions, attracting $644 billion in 2025.

Latin America and the Caribbean recorded stronger growth, with investment rising 14% to $188 billion.

Africa received about $70 billion. While that was below the exceptional level reached in 2024, the amount remained roughly one-third above the region’s average for 2010–2024.

The least developed countries recorded a 21% increase in inflows to $43 billion. Yet their share of global FDI remained just 2.7%, with investment concentrated in a relatively small number of largely resource-rich economies.

The distribution of investment was similarly concentrated at the global level.

The world’s 20 largest host economies attracted more than 80% of total FDI in 2025.

Technology is changing where capital is going

The strongest growth was concentrated in projects connected to strategic industries.

According to the report, artificial intelligence infrastructure, semiconductors, critical minerals and energy-transition technologies and services together accounted for 44% of global greenfield project values in 2025. Five years earlier, those sectors represented only 16%.

Data centres were the standout driver, generating $235 billion in announced greenfield investment and international project finance values. Oil and gas followed with $38 billion, while semiconductor projects increased by $13 billion.

Other parts of the investment landscape were considerably weaker. Project values declined by $37 billion in renewable energy, $55 billion in infrastructure and $55 billion in global-value-chain-intensive industries.

The result is a recovery that looks strong in aggregate but is considerably narrower when examined by sector.

More investment does not automatically mean more development

For developing economies, attracting foreign capital is only part of the challenge. Its wider economic value depends on whether projects create productive capacity, jobs, skills and opportunities for technology transfer.

The report found that low-income and lower-middle-income economies attracted only around 10% of strategic-sector investment between 2020 and 2025, compared with more than 20% in other sectors.

That imbalance could become more significant as international investment shifts towards projects requiring substantial capital, advanced technology and specialised skills.

For countries seeking to compete for these investments, the report highlights the importance of dependable infrastructure, workforce development, stronger domestic suppliers and access to regional markets.

Governments increasingly shape investment flows

Governments are also taking a more active role in determining where international capital is directed.

A record 229 investment policy measures were introduced worldwide in 2025. Most remained favourable to investors, but many were designed to attract capital into strategic industries, support domestic economic priorities or respond to concerns over economic security.

That shift is likely to make competition for major investment projects more intense, particularly in sectors linked to technology, energy and industrial development.

2026 outlook remains uncertain

The global investment recovery is entering 2026 against a difficult economic and geopolitical backdrop.

Trade-policy uncertainty, geopolitical tensions, conflicts, high financing costs and increasing economic fragmentation continue to create risks for companies considering cross-border investment.

At the same time, governments are competing more aggressively for projects that could strengthen technological capabilities and establish new sources of long-term growth.

The findings are expected to feed into discussions at the World Investment Forum 2026, which will take place in Doha, Qatar, from 25 to 27 October. Governments, investors and development partners will examine how the increasingly selective investment environment can produce broader economic benefits.

The latest figures suggest that global investment is recovering, but the quality and distribution of that recovery matter. For developing economies, the challenge is no longer simply to attract capital, but to turn it into investment that expands productive capacity and creates opportunities across the wider economy.

123...26Page 1 of 26

Menu

Links

Stay connected

Newsletter Signup

© World Business Journal | All rights reserved. 2024