The European Investment Bank (EIB) Group, the European Commission and the International Finance Corporation (IFC) have announced a landmark financing partnership to support Biovac in building Africa’s first end-to-end multi-vaccine manufacturing facility in South Africa.
The project is aimed at strengthening Africa’s health security, expanding vaccine manufacturing capacity on the continent and improving access to essential immunisations.
It is backed by a €75 million quasi-equity investment from the EIB Group, which has also helped unlock an additional $20 million senior loan through an IFC-led financing package, with further mobilisation of funding underway.
The investment is supported by a European Commission guarantee under the Human Development Accelerator programme, part of the European Union’s Global Gateway strategy.
It also contributes to the Team Europe initiative on Manufacturing and Access to Vaccines, Medicines and Health Technologies in Africa.
The new facility, expected to be completed by 2028, will initially manufacture oral cholera vaccines before expanding production to include vaccines for polio, pneumonia and meningitis.
Once operational, the site is expected to produce between 30 million and 40 million doses annually.
Biovac Chief Executive Officer Morena Makhoana said the new facility would secure reliable vaccine supply for Africa while building skills, expanding technology transfer and driving vaccine innovation.
The partners said the plant could help close around 40% of the global cholera vaccine supply gap while supplying regional markets through procurement channels such as UNICEF and Gavi, the Vaccine Alliance.
The project is also expected to create more than 340 skilled jobs and around 7 000 indirect jobs, while promoting technology transfer, innovation and long-term health resilience across the continent.
EIB President Nadia Calviño said the project would help save lives by protecting millions of children from serious diseases and equipping African scientists and health workers to support their own communities.
European Commissioner for International Partnerships Jozef Síkela described the investment as an example of the Global Gateway strategy in action, combining health sovereignty with economic development.
IFC Regional Vice President for Africa Ethiopis Tafara said building local manufacturing capacity was both a development priority and a strategic investment in resilience.
The initiative also supports the African Union’s Vision 2040 target of achieving 60% local vaccine production and aligns with several United Nations Sustainable Development Goals, including health, economic growth, industry and partnerships. – SAnews.gov.za
