APM Terminals’ African port investment strategy

Overall African port utilisation currently exceeds 70% and is expected to reach 80% over the next decade, resulting in worsening port congestion and constrained economic growth. The IMF has projected Nigerian GDP growth rates of 7.2% in 2013 and 7% in 2014, with Africa overall forecasted to see economic growth of 5.5% this year.

In recognition of increasing pressure on trade and economic performance, governments are partnering with private terminal operators to accelerate infrastructure development, create new jobs and attract more investment from world markets through a competitive port system, such as the proposed new mega-port at Badagry, Nigeria.

The New Partnership for Africa’s Development (NEPAD) has estimated Africa’s infrastructure spending gap at US$48bn.