will invest $5 billion (€4.7 billion) in aid and development projects, EU chief announced Thursday.
The majority of the investments will go to supporting the transition to clean energy, such as improving wind, solar and hydrogen power production.
The funds will also be put into vaccine manufacturing.
“South Africa wants to protect the health of [its] people… We Europeans want to diversify some of our most critical supply chains. This is what I call a true mutual interest,” von der Leyen said.
The announcement came at the first bilateral summit between the bloc and South Africa, the continent’s most advanced economy, in seven years.
What led to the summit?
The summit in Cape Town was called to strengthen ties between the bloc and South Africa, the EU’s largest sub-Saharan trading partner.
South African President Cyril Ramaphosa said the meeting came at a time of increasing “global uncertainty … characterized by rising unilateralism, economic nationalism,” a reference to the impact of US President Donald Trump’s policies.
The United States’ decision to to South Africa has sparked concerns about funding gaps in critical areas, such as .
“What is going on in the world is even going to strengthen our resolve to remain partners in order to tackle the many challenges that are arising,” Ramaphosa told reporters.
“Some countries are interested in just extracting materials from the ground and exporting profits elsewhere. That is not our model,” von der Leyen said at the summit.
“We want to support local jobs, local added value, and high environmental and labor standards.”
Edited by: Natalie Muller
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