Hassan Abdalla, Governor of the Central Bank of Egypt (CBE), proposed directing 10% of Africa’s banking liquidity toward investments within the continent, alongside allocating 5% of international reserves to African investments, as part of efforts to boost capital flows and strengthen financial and economic integration across Africa.

Speaking as a keynote participant in a session titled “A New Growth Compact for Africa in a Disrupted World” at the Alamein Africa Forum, Abdalla said Egypt has signed around 15 memoranda of understanding (MoUs) with African central banks.

He explained that the agreements cover several areas, including training and governance, with the aim of facilitating knowledge exchange and strengthening the institutional capabilities of banking sectors across African countries.

Abdalla said Egyptian banks are also expanding their presence in African markets by opening credit lines and providing financing facilities to support investment, increase liquidity, and contribute to the development of capital markets across the continent.

The CBE governor stressed that strengthening banking and financial ties among African countries is essential to increasing intra-African capital flows, particularly as some African capital currently moves to developed markets before returning to the continent at a higher cost.

He called for turning African financial cooperation into measurable and actionable commitments, with a focus on developing financial markets, improving access to finance, strengthening banking systems, and enhancing investment assessment and creditworthiness mechanisms.

African Credit Rating Agency

Abdalla emphasized the need to improve the credit ratings of African countries, proposing the establishment of an African credit rating agency to help the continent’s economies gain access to financing and investment on more efficient terms.

He also called for greater use of local currencies in intra-African trade rather than relying entirely on foreign currencies. Settling part of the continent’s trade in local currencies, he said, could serve as a gradual step toward strengthening trade, investment, and financial ties among African economies.

Abdalla also urged African countries to reduce barriers to the cross-border movement of goods and people and accelerate cargo release and customs clearance procedures to support the growth of intra-African trade and investment.

Africa’s Jobs Gap

The CBE governor noted that around 12 million young people enter Africa’s labor market each year, while only about 3 million formal jobs are created annually. He stressed that investing in education and skills is essential to transforming the continent’s growing and youthful population into a driver of economic growth.

He also highlighted the importance of stable and predictable economic policies, alongside clear and measurable plans, to strengthen investor confidence, attract investment, and support sustainable growth.

The Alamein–Africa Business Forum is being held in implementation of a decision adopted at the African Union Summit in February 2026 to convene the forum every two years in New Alamein City.

The forum aims to mobilize the resources, investments, and partnerships needed to translate Africa’s development priorities into concrete projects and outcomes, while strengthening engagement among governments, business communities, investors, and financial institutions.