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When aid shrinks, project execution must improve
The announcement of deep cuts in US development assistance has cast a long shadow over Africa’s infrastructure ambitions.
The African Development Fund, the continent’s principal vehicle for concessional financing, now faces a possible 37% drop in donor contributions, with Washington potentially withdrawing entirely, according to the Centre for Global Development. In March the US withdrew from the Just Energy Transition Partnership, to which it had initially pledged more than $1.5bn of grant and commercial funding.
Even if these cuts prove to be temporary, the damage may not be. Recovering lost momentum could mean sacrificing years of economic growth, delaying critical infrastructure projects and widening the development gap. And if the decline signals a more permanent shift the implications are even more profound. Rather than wait for fortunes to swing back in their favour, African governments must take proactive steps to secure their development trajectories.
As development partner contributions shrink, governments across the continent will need to take on a greater share of project financing through their own national budgets. That reality is sobering, but it also presents a compelling opportunity to reimagine public investment through the lens of discipline, delivery and results.
In recent years many African economies have faced a challenging paradox: rising investment in infrastructure has not always translated into timely project delivery. Historically, our data has indicated that about 10% of project investment is wasted due to poor performance. Take the global construction market, which is projected to reach about $17.05-trillion this year, and poor project performance, such as going over time or over budget, could cost it more than $1-trillion.
In Africa, where public debt levels are already placing pressure on national budgets and fiscal space is limited, improving efficiency in infrastructure delivery is no longer optional; it is essential. If the funding tap is tightening, the only viable response is better stewardship of remaining resources. That means placing execution at the centre of fiscal policy.
Professionalising project management in the public sector is the single most powerful lever African governments can pull to stretch limited budgets. That said, professionalising project delivery is not without its challenges. Many governments still contend with institutional constraints, limited technical capacity and high turnover in public sector roles. These realities underscore the need for long-term investment in skills development.
Even a modest 10% improvement in project delivery efficiency could translate into billions in savings, resources that could be redirected towards critical sectors such as education, healthcare and public safety. Stronger project management leads directly to better development outcomes, without placing additional tax burdens on citizens or increasing national debt.
There is also a long-term political dividend. When governments consistently implement visible, high-impact infrastructure projects they build public trust, foster investor confidence and stimulate employment. In the context of a rapidly growing youth population and pressing job creation needs, infrastructure delivery should be positioned not merely as capex but as an instrument for inclusive growth and economic resilience.
In today’s constrained environment Africa can no longer afford inefficiency. Every missed milestone, budget overrun or failed audit is not just a governance issue — it’s a tax on future generations. That is why national treasuries must begin to view project management capability as a strategic economic asset. Government ministries should collaborate to embed delivery units staffed by qualified project professionals.
Embedding this level of project management rigour will not happen overnight. Strengthening delivery capability across ministries is a medium-term reform, but one that must begin now if future infrastructure investments are to deliver their intended outcomes. Multilateral lenders such as the African Development Fund should also consider making project management discipline a condition for financing to help ensure projects deliver their intended effect.
Africa’s infrastructure agenda is too important to fail, but success will not be driven by donor generosity alone. It will depend on national leadership that prioritises competence and refuses to compromise on execution.
• Asamani is MD of the Project Management Institute in Sub-Saharan Africa.
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