Japan and AfDB Launch $5.5 Billion Support Package at TICAD9
The Government of Japan and the African Development Bank (AfDB) have signed a Memorandum of Understanding (MoU) to launch the sixth phase of the Enhanced Private Sector Assistance initiative (EPSA6), committing up to $5.5 billion to Africa’s development from 2026 to 2028.
The agreement, sealed during the Ninth Tokyo International Conference on African Development (TICAD9) in Yokohama, marks an increase of $500 million compared to EPSA5. It was signed by Japan International Cooperation Agency (JICA) President Dr Akihiko Tanaka and AfDB Vice-President for Power, Energy, Climate and Green Growth, Kevin Kariuki, in the presence of Japan’s Finance Minister, Mr Katsunobu Kato.
Launched in 2005, EPSA is a long-standing partnership between Japan and the AfDB that has already mobilised $12 billion in co-financing. Its priorities include power, connectivity, health, agriculture and nutrition, with EPSA6 introducing resilience as a new focus area to address climate change and broader economic shocks.
Dr Tanaka praised the achievements of the outgoing AfDB President, Dr Akinwumi Adesina, under whose leadership EPSA expanded significantly. He noted that EPSA5, which ran from 2023 to 2025, was on track to exceed its $5 billion target, with co-financing projected to reach $5.6 billion by December 2025.
“The ambitious $5.5 billion target for EPSA6 is more than five times the original goal set 20 years ago. This reflects the growing strength of our partnership and the importance of our joint effort,” Tanaka said.
Mr Kariuki described Japan as one of the Bank’s strongest shareholders and applauded its long-term commitment to Africa’s private sector development. “EPSA is the Bank’s largest and longest-standing bilateral partnership. Together we have delivered vital infrastructure, from hydropower and communications satellites to toll roads and water supply systems,” he said.
Minister Kato stressed that resilience would be central to EPSA6, highlighting the need to support heavily indebted African nations while boosting private sector investment. “Africa has tremendous opportunities for significant market expansion,” he added.
Previous EPSA funding has supported projects such as the Bujagali Hydropower Plant in Uganda, the RASCOM satellite, the East Africa Submarine Cable System, the Lekki Toll Road in Nigeria, and Kigali’s Bulk Water Supply in Rwanda.
With EPSA6, Japan and the AfDB reaffirm their commitment to driving sustainable growth and strengthening Africa’s capacity to respond to future challenges.
