Papathanasiou: African minerals used for African development

The annual Investing in Africa Mining Indaba recently marked its significant 30th year, bringing together key players in the mining and extractives industry to discuss trends and opportunities. CNBC Africa's Fifi Peters sat down with Demetrios Papathanasiou, Global Director for the World Bank's Energy and Extractives Global Practice, to gain insights into the World Bank's agenda at the event and key takeaways. Papathanasiou highlighted the shifting global landscape, noting the resurgence of economies post-COVID, coupled with inflation and emerging conflicts. Despite these challenges, he emphasized the positive drive towards renewable energy and energy efficiency investments, driven by efforts to address climate change. The narrative of the energy transition driving demand for metals and minerals remained strong at the Indaba, with a focus on sustainable development. One key theme that emerged from the discussions was the importance of utilizing Africa's mineral wealth for the continent's development. Papathanasiou underscored the World Bank's commitment to supporting value addition and supply chains within African countries, aiming to keep the benefits of mining operations within the region. The focus on building resilient, inclusive, and sustainable supply chains, through initiatives like RISE, aims to create opportunities for local development. The World Bank's engagement with countries like the Democratic Republic of Congo (DRC) and Zambia highlighted the vast potential these nations hold in critical metals and minerals. With a rich reserve of resources necessary for the energy transition, Africa presents a unique opportunity for sustainable development. Papathanasiou emphasized the need for careful planning and investment in infrastructure, highlighting the symbiotic relationship between mining and infrastructure development. As the conversation delved into the perceived risks in the mining sector, particularly in regions like the DRC, Papathanasiou acknowledged the inherent challenges but stressed the potential for managing risks through strong environmental, social, and governance practices. The World Bank's role in providing political coverage and risk insurance aims to mitigate country and political risks, paving the way for more sustainable and responsible mining projects. In conclusion, the World Bank's presence at the Mining Indaba signaled a steadfast commitment to leveraging Africa's mineral resources for the continent's development. By supporting efforts to enhance local value addition, promote sustainable supply chains, and manage risks effectively, the World Bank aims to foster a more inclusive and prosperous mining sector in Africa.