Introduction:

In an exclusive interview with R:Ed, Dr. Stefan Liebing, Chairman of Afrika-Verein der deutschen Wirtschaft e.V. and CEO of Conjuncta GmbH, shares insights on German-African collaborations, investment challenges, and the need for a pragmatic approach to development.

R:Ed:

I believe you play a crucial role in steering Africa in the right direction. Could you introduce yourself and shed light on your involvement in Africa?

Stefan:

Certainly. I’m Stefan, with a background in infrastructure and energy. Over the past 20 years, I’ve worked in Russia, Central Asia, the Middle East, and Africa. For the last 15 years, my focus has been on Africa through my investment firm in Hamburg. We specialize in various sectors, including chemicals, logistics, IT, energy, and hydrogen. I recently completed my term as the chair of the German African Business Association and am also an honorary consul in Hamburg for Cameroon. Currently, we’re launching a business initiative to promote specific projects in Africa.

R:Ed:

Tell us more about this new business initiative.

Stefan:

We’re establishing a German business initiative aimed at promoting specific investment projects and job creation. Experienced decision-makers from politics, business, and science will identify suitable partners for projects that African leaders aspire to undertake. The goal is to move beyond discussions and actually implement projects, bridging the gap between potential and action.

R:Ed:

Addressing challenges, you mentioned financing as a significant hurdle. Could you elaborate on this?

Stefan:

Indeed, financing poses a major challenge, particularly for German private sector investors. Basel IV has made it even more difficult for German banks to finance African investments. For instance, a solar power project in Africa requires a substantial bank loan, but convincing German banks to invest in such projects is a struggle due to regulatory constraints.

R:Ed:

Aside from financing, are there regulatory barriers impacting projects in Africa?

Stefan:

Regulations and bureaucracy play a role, especially in large infrastructure projects. For instance, environmental concerns in Germany can hinder projects, as seen in the case of a dam upgrade. While such challenges are significant, the main focus should be on ensuring access to funding for these projects.

R:Ed:

You highlighted the importance of supporting projects that make economic sense. How can the German government contribute to this?

Stefan:

Reforming the approach to development is crucial. Rather than traditional aid, we should use development budgets to bridge financing gaps and provide guarantees to banks. This approach facilitates private sector investment, job creation, and ultimately contributes to Africa’s economic growth.

R:Ed:

Shifting gears to human resources, you mentioned the shortage of IT experts. How can Germany address this issue?

Stefan:

Germany needs to tap into the expertise of African IT professionals. The government should consider making the visa and migration processes less bureaucratic, facilitating the exchange of skills and knowledge.

R:Ed:

Given the geopolitical implications, how should Europe approach equal opportunities for Africans?

Stefan:

Making migration easier for qualified individuals and supporting job-creating projects are essential steps. Europe must recognize the importance of providing opportunities to Africans, as failure to do so may result in geopolitical challenges, including increased border crossings.

Conclusion:

Dr. Stefan Liebing emphasizes the need for a pragmatic approach, combining private sector investment, job creation, and streamlined regulations to unlock the full potential of German-African collaborations. The interview provides valuable insights into the challenges and opportunities that lie ahead in fostering meaningful partnerships.

Watch out for part 2 of this interview in another perspective from Stefan.

Co author: Rosalie Lalhensia Ngassama