The East African Community (EAC) faces a daunting $42 billion annual infrastructure deficit, stalling progress in transportation, energy, and communication systems critical for regional integration and economic growth.
To address this, Standard Bank Group affiliates—Stanbic Bank Kenya, Stanbic Bank Uganda, and Stanbic Bank Tanzania—recently convened the 2025 East Africa Institutional Investors Forum in Arusha, Tanzania, bringing together institutional investors, policymakers, and regulators to explore mobilizing domestic capital for infrastructure development.
The two-day forum emphasized redirecting passive domestic capital, such as reserves held by commercial banks, fund managers, and asset managers, into active investments for strategic infrastructure projects.
Aime Uwase, Director of Planning at the EAC Secretariat, opened the discussions, stressing the pivotal role of robust infrastructure in fostering regional integration.
“By unlocking domestic capital, we diversify funding sources and strengthen economic resilience,” Uwase said, noting the region’s historical reliance on external financing.
Zoya Sisulu, Sector Head of the Financial Institutions Group at Standard Bank, underscored the forum’s significance.
“This gathering unites key players—regulators, asset allocators, and owners—to tackle market challenges and drive the infrastructure agenda forward,” Sisulu said.
Micheal Sseguya, Head of Financial Institutions Group for Corporate and Investment Banking at Stanbic Bank Uganda, highlighted the need to diversify investment portfolios beyond treasury bills and bonds.
“We’re encouraging institutional investors to explore opportunities in commercial real estate, infrastructure, and large-scale projects essential for East African development,” he said.
The feedback from investors and regulators at the forum helped identify critical investment areas and chart a path to channel capital into infrastructure.
Benedict Nkini, Vice President for Financial Institutions at Stanbic Bank Tanzania, noted the vast private capital held across the EAC.
“This forum brings together infrastructure players, financiers, Development Finance Institutions, and government entities to align expertise and advance the region’s infrastructure goals,” he said.
However, mobilizing domestic savings for public projects faces challenges, particularly around risk.
Alex Rumanyika, Head of Strategy at the National Social Security Fund (NSSF), emphasized the priority of safeguarding investments.
“As custodians of people’s savings, safety comes first,” he said, advocating for innovative solutions like infrastructure instruments on stock exchanges, potentially facilitated by the Trade Development Bank, to make such investments more accessible for pension funds.
Other risks, including lack of predictability, transparency, political interference, and vested interests, were also raised.
