Ahead of the G20 Summit on Africa, which is hosted by the German capital, Berlin, Chancellor Olaf Scholz met with leaders and representatives from over 12 African countries.
The focus of the meeting was the necessity of increasing German company investments on the African continent.
Scholz emphasized Africa’s enormous potential, stating that it could become a “major supplier” of green hydrogen for Germany.
As the largest economy in the European Union, Germany has a crucial need for green hydrogen in the coming years to achieve carbon neutrality.
While Sabine Dall’Omo, the President of the German-African Business Association, expressed that German investments in Africa in general are still “disappointingly low,” other countries like Morocco have seen “tremendous growth” in German corporate investments.
For instance, Moroccan Prime Minister Aziz Akhannouch revealed that German corporate investments increased sixfold from 2015 to 2022, along with a 30% increase in bilateral trade between Morocco and Germany. Ivory Coast’s President Hassan Wattara similarly noted a threefold increase in his country.
Overall, Germany’s trade volume with Africa was €60 billion ($65.4 billion) last year, a small portion of its trade with Asia but a 21.7% increase from 2021.
Scholz’s meeting with the African delegation takes place on the sidelines of the G20 Summit, which will be held later on Monday.
Its aim is to assist in promoting private investment in the rapidly growing continent. Reflecting the renewed interest in Africa, European Commission President Ursula von der Leyen, French President Emmanuel Macron, and Dutch Prime Minister Mark Rutte will be among the leaders participating in the summit, according to German officials.
Europe and the United States are competing with Russia and China for influence, essential mineral resources, and new economic opportunities on the world’s second-largest continent in terms of population.
This includes Africa’s potential as one of the poorest continents in the world for renewable energy production, especially green hydrogen.
