Akufo-Addo Urges African Countries to Invest 30% of Reserves in Continental Banks
Akufo-Addo urges African nations to boost financial sovereignty by investing a significant share of reserves in continent-based institutions to accelerate development and reduce reliance on foreign banks.
- Akufo-Addo proposes African countries allocate 30% of reserves to continental financial institutions
- This move aims to empower Afreximbank and AfDB to better fund development projects
- He calls for urgent action on the African Central Bank and financial autonomy initiatives
Former Ghanaian President Nana Addo Dankwa Akufo-Addo has urged African countries to dedicate 30% of their sovereign reserves to continental financial institutions like the African Export-Import Bank (Afreximbank) and the African Development Bank (AfDB).
He argues that this strategic allocation would strengthen these institutions’ capacity to address Africa’s urgent development challenges.
Akufo-Addo first proposed this idea during his tenure as Ghana’s President and as a key proponent of the African Continental Free Trade Area (AfCFTA), headquartered in Accra.
Speaking on June 27 at the 2025 Afreximbank Annual Meetings in Nigeria, he emphasized that such a move could transform Africa’s financial ecosystem.
He expressed concern that many African nations continue to hold their reserves in foreign banks, often earning negative interest, while struggling to fund vital infrastructure and development projects locally.
“We lack control over the institutions needed to drive our growth,” he said, underscoring the need for financial independence. “Without control of our financial institutions, sustainable development remains out of reach.”
Akufo-Addo called for concrete action to strengthen Afreximbank and AfDB through genuine commitment and cooperation among African leaders.
“We must match our words with action,” he urged. He also criticized the prolonged delays in establishing the African Central Bank—a key institution that, along with the African Investment Bank and African Monetary Fund, is essential for Africa’s financial sovereignty and faster development.
To highlight the benefits of Africa-owned institutions, he pointed to Afreximbank’s recent $750 million financing package for Ghana, provided when the country was locked out of international capital markets.
