Sovereign debt concerns – Can the social infrastructure deal pipeline be financed sustainably

Events / 19-11-21 / Share Link

Following growing pressure on public finances across sub-Sahara throughout 2020, fears over sovereign debt sustainability were finally realised with Zambia’s default in November. Infrastructure modernisation is needed more than ever, particularly within the healthcare and transport sectors, but significant questions remain about how these projects can be financed sustainably whilst managing political and financial risks for lenders and investors.

This session with panellists - Ian Henry (Head of Export Financing, Investment Banking, Rand Merchant Bank (RMB)), Sam Evans (Director, BPL Global), Nicholas Oliver (Head of Business Development NMS International Group) and Gabriel Buck (Managing Director, GKB Ventures) - pinpointed how banks and ECAs can assist African sovereigns in the current climate, assess the availability of CIRR-based lending and blended financing structures, and question if there is a greater role to be played by the private insurance market in mitigating risks associated with debt restructuring, trade disruption and political violence.