EU Global Gateway Africa is an investment package aimed to support Africa a green and digital revolution that is backed by a series of investment funding to facilitate an inclusive approach to achieving green revolution in Africa.
Green revolution pertains to a shift from use of traditional energy sources like fossil fuels and analogue platforms that are all very detrimental to the environment and the very cause of global warming and climate change.
Up to now, the problem has not been accepting the science behind the need to switch from fossil fuels to clean energy solutions, rather the issue has been funding the transformation.
This is the very purpose of the EU Global Gateway investment package, to support funding switch to clean energy and a digital transition for sustainable development.
The Global Gateway strategy is meant to fund the desired green transition to mitigate climate change. In the same vein, it is to support the complimentary digital transition which in turn will accelerate sustainable economic growth and subsequently create jobs.
Global Gateway investment serves to strengthen health systems by increasing and improving inter-connectivity of service providers and supporting agencies. The digital transition also improves delivery of education and strengthening training facilities.
The Global Gateway investment package is delivered through what is known as Team Europe which is made up of, the EU Member States backed by European financial institutions.
- European Union has announced a second package of EUR 166 Million to support Tanzania’s Blue Economy initiative
- Worldwide, the Global Gateway aims to mobilise up to EUR 300 Billion of investment by 2027
- The project will increase the renewable energy generation capacity by at least an additional 300 GW.
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In Tanzania, Team Europe works hand in hand with the government to utilize the funding packages of EU grants to bring about additional investments to help the country achieve green transition and a sustainable blue economy.
In its most recent grant funding the European Union announced a second package of EUR 166 Million to support Tanzania’s Blue Economy initiative.
This second package is meant to fund implementation of the Global Gateway strategy to boost the clean energy transition and facilitate digital transformation. Green economies working on smart, clean and renewable energy will facilitate sustainable development.
This second round of funding under the Global Gateway strategy was announced at a recent high profile meeting in Dar es Salaam that was held to discuss among other things,the country’s goals towards a green revolution and blue economy sustainability.
The meeting brought together the European Commissioner for International Partnerships, Jutta Urpilainen, Tanzania’s Minister of Foreign Affairs and East African Cooperation Hon. Dr. Stergomena Tax, and Hon. Dr. Mwigulu Nchemba, the Tanzania Minister of Finance and Planning.
This meeting was the result of stepping stones laid down Tanzania’s President of Tanzania, Samia Suluhu Hassan in her earlier meetings with counterparts from the European Union.
“Worldwide, the Global Gateway aims to mobilise up to EUR 300 Billion of investment by 2027,” Commissioner Urpilainen said.
The funding is been raised under the Team Europe banner that includes the EU Member States, EU Development Financial Institutions and the EU private sector as well.
Welcoming the second round of funding as a necessary and timely initiative, Tanzania’s Minister of Finance and Planning Mwigulu Nchemba said: “This second package of grants complements the joint strategy of our partnership. As Government of Tanzania, we see the mix of direct contribution to the National Budget and support to the private sector as the best combination to guarantee economic development in our country.”
“The European strategy that aims to promote sustainable and inclusive investments is perfectly in line with Tanzania’s vision and I express my sincere appreciation for this excellent collaboration,” he concluded.
Application of the Global Gateway funding in Tanzania
While the government of Tanzania has not listed specific projects that the Global Gateway grant will finance, the country already has several green initiatives underway and is leading the region in digital transformation.
The EU envisions that through the grant funding various solutions will be realized under five main banners; green transition, digital transition, accelerating sustainable growth and decent job creation, strengthening health systems and improving education and training
In this regard, the EU is of the view that tackling the global challenge of climate change, it must work with Africa to maximise the benefits of the green transition and minimise threats to the environment in full compliance with the Paris Agreement, as stated in the official EU statement.
The investment package will allow a swift switch to renewable energy and the related transition share in energy mix. Eventually, this funding will result in access to ‘affordable, reliable and sustainable energy as well as support market integration and sector reforms.’
Here the EU ambition is that by 2030, the project will increase the renewable energy generation capacity by at least an additional 300 GW.
The grant support will bring about the strengthening of sustainable African agri-food systems through a green revolution. If implemented as planned, it will also create a conducive and transparent policy environment for sustainable private sector participation.
Through the support of the EU grant money, Africa will be able to bridge the global digital divide and strengthen secure digital connections between Europe and Africa. This is of vital importance since Africa has again been left behind in the digital era and must be brought up to speed,
“In the post-COVID-19 world, strong digital connections have become even more essential. The Investment Package will facilitate projects in submarine and terrestrial fibre-optic cables, as well as cloud and data infrastructures,” reads the EU statement in part.
Through the Global Gateway funding, the EU will also support strengthening of regulatory frameworks which in turn will help promote the much needed digital transition that will also have secure and trusted connectivity, including basic aspects such as data protection for government, organizations and individuals as well.
This initiative helps African countries like Tanzania to realize their ambitions to accelerate universal access to reliable internet networks for all no matter where they live.
By achieving these basic but necessary goals, the funding will bring about regional and continental economic integration, that is defined in many of the continent’s ambitious green revolution goals and visions for the future Africa.