0 of 2
The CEOs of Ninety One and Standard Bank, two of the behemoths of the SA financial services sector, have been included in a World Bank initiative to boost private-sector investment in emerging markets.
Ninety One CEO Hendrik du Toit and Standard Bank CEO Sim Tshabalala were both named among 15 founding members of the World Bank’s Private Sector Investment Lab. The World Bank made the announcement late on Monday in a statement posted on its website, which explained that the 15 CEOs named as part of the initiative would be tasked with developing solutions to removing barriers to private-sector investment in developing economies.
“Attracting a lot more private investment to emerging markets would significantly accelerate inclusive human development and the just transition towards a low-carbon economy,” said Tshabalala. “The Private Sector Investment Lab is asking precisely the right questions about how the private sector and development finance institutions should work together.”
The announcement comes at a time when the developing world requires trillions of dollars of investment to tackle poverty and unemployment while simultaneously mitigating the risks of climate change by making progress towards decarbonising their economies. The Investment Lab’s work will include an emphasis on energy transition finance with an initial sectoral focus on renewable energy and energy infrastructure.
“We welcome this initiative and are grateful to be participating because it is vital for public and private finance jointly to address these challenges,” said du Toit.
The scale of the challenge facing developing economies will require the private sector to play a significant role alongside the World Bank and other development institutions to support capital mobilisation at the required scale. This includes ideas for improved financing structures, improved alignment of the World Bank with the needs of private sector, as well as establishing new partnerships to spread risk across investor groups.
“The World Bank is on a mission to create a world free of poverty — but on a liveable planet,” World Bank president Ajay Banga said.
“Achieving this vision demands that we build a better bank, but also reimagine partnerships and pull in the private sector to confront — and beat — intertwined development challenges like poverty, climate and fragility. The business leaders who are lending their time, talents and expertise to this work are a crucial piece of the puzzle. This group has the potential to unlock significant investment that will deliver jobs and better quality of life for people living throughout the Global South — the surest way to drive a nail into the coffin of poverty.”
The other 13 founding members of the World Bank’s Private Sector Investment Lab include the CEOs of AXA, BlackRock, HSBC, Macquarie, Mitsubishi UFJ Financial Group, Standard Chartered, Sustainable Energy for All and Temasek as well as the co-CEO of Ping An Group, the co-founder of Three Cairns Group and the chairs of Royal Philips and Tata Sons.
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.