Improvements to energy, water, transport and telecommunications infrastructure facilitate economic growth and create opportunities for job creation and human development. Crucial public infrastructure, like schools and housing, helps people improve their standards of living and future prospects. Standard Bank works with governments, development finance institutions and other commercial banks to structure and provide appropriate financial solutions to address Africa’s infrastructure gaps.
Genser Energy planned expansion, which aims to increase Ghana’s onshore natural gas pipeline infrastructure by nearly 160%
The Namibian Government’s construction of a National Fuel Storage Facility for petroleum products at Walvis Bay, to ensure the security of petroleum supply in Namibia
Infrastructure upgrades by Umeme Limited, Uganda’s primary energy distributor
International power company Globeleq’s acquisition of five renewable energy generation plants in South Africa, creating opportunities to improve operations and boost social and economic development programmes associated with the plants
Further expansion and improvement of the Port of Maputo in Mozambique, enabling improved productivity, operational efficiency and competitiveness
Telkom South Africa’s purchase of Huawei equipment, to support the expansion of its mobile phone business
A low-cost housing development in Johannesburg, South Africa, which won the UN’s Sustainable City and Human Settlements Award
We also partnered with M-kopa to supply 22 primary schools in Eastern Uganda with solar-powered electricity for candidate classrooms and administration blocks as part of our corporate social investment programme.
Fewer than 43% of people in sub-Saharan Africa have access to grid electricity. The AU Commission reports that Africa needs to connect around 73 million people to electricity every year to reach the goal of affordable and sustainable energy for every African by 2030.
Africa’s rich solar, hydro and wind resources, together with increasingly cost-effective renewable energy technologies and new storage technologies, provide huge potential for African energy utilities to improve their energy generation capacity and efficiency. At present, however, renewable energy generation remains limited. Hydropower accounts for 16% of generation, solar and wind 1.3%, geothermal 0.57%, biofuels and waste-to-energy 0.23% and nuclear 1.57%.
African economies need reliable, regionally integrated transport infrastructure to facilitate access to markets and grow import and export capacity.
Telkom is a leading telecommunications service provider in South Africa. Services include fixed-line voice and data services, broadband solutions, mobile communication services, data centre operations, cloud and workspace services, and hardware and network equipment sales, among others. The South African government is the largest shareholder with a 39% stake.
Telkom has identified mobile services as a growth area for the group and sought long-term funding to enable the purchase of Huawei equipment to the value of USD600 million (R9.7 billion) to support its next generation of products. The ten-year loan period extends beyond normal bank appetite for top tier corporates. However, ICBC and SBSA were able to provide Telkom with an appropriate funding solution by structuring a deal inclusive of a buyers’ credit policy from Sinosure. ICBC and SBSA acted as joint arrangers and original lenders. The Sinosure-covered facility of R2 billion is funded by ICBC and SBSA on a 50:50 basis. SBSA also provided the down payment facility to facilitate the payment of the 15% deposit. Telkom can access up to R865 million. The deal marks the first time that Sinosure has provided a buyers’ credit policy in South Africa, and the first ZAR funding solution raised from China for Telkom.
In 2019, we were honoured to receive the UN’s Sustainable City and Human Settlements Award, together with our project partners the City of Johannesburg and residential property developer Calgro M3, for the South Hills Integrated Housing project.
When complete, the development, south of the Johannesburg CBD, will comprise 5 845 residential opportunities. It has been recognised as a global green model community for its “outstanding demonstration in promoting sustainable cities and human settlements, as well as the implementation of sustainable development goals”. The development comprises a mix of fully-subsided homes, subsidised rental units, and bonded units and free-stranding houses. It is situated on a transport node only six kilometres from the Johannesburg CBD, offering access to transport, job opportunities, and local amenities, including schools, shops and hospitals. The development hopes to reverse the trend of urban sprawl by integrating the various income groups into the existing urban fabric creating a sustainable environment.
Many of Uganda’s government primary schools are not on the electricity grid. This provides a considerable obstacle to teaching and creates safety concerns for learners. In 2019, Stanbic Uganda partnered with M-kopa to enable 22 primary schools in Eastern Uganda to access solar-powered electricity for classrooms and administration blocks. By ensuring access to electricity in these schools, we aim to improve attendance by teachers and learners, enable learners to study after hours, and encourage greater commitment from parents to sending their children to school. We’ve also provided learners with study booklets to assist them in their studies. 105 teachers and 5 300 learners have benefitted from the project, including 450 final year learners. The classrooms are also available for use by local communities after school hours. Nawandala Primary School has gone even further, using the solar installation as a launchpad to start a boarding section for their candidate class, and a school farm to feed the pupils. Standard Bank has provided the school with 52 beds, mattresses and blankets to furnish the boarding section.