Global Partners Back Africa’s First End-to-End Vaccine Manufacturing Hub in SA

In a landmark move to transform global health security and reduce vaccine dependency, the European Investment Bank (EIB) Group, the European Commission, and the International Finance Corporation (IFC) have joined forces to finance Africa's first end-to-end multi-vaccine manufacturing facility in South Africa.

The project, anchored by South African biopharmaceutical company Biovac, is being hailed as a major step toward strengthening vaccine sovereignty in Africa and addressing critical global supply gaps.

Major Financing Push to Build Vaccine Independence

The initiative is backed by a €75 million quasi-equity investment from the EIB Group, which has also catalysed an additional $20 million senior loan through IFC, with more funding expected to be mobilised.

The investment is further supported by a European Commission guarantee under the Human Development Accelerator programme, part of the European Union's broader Global Gateway strategy—a flagship initiative aimed at boosting sustainable infrastructure and development partnerships worldwide.

Building Africa's Vaccine Manufacturing Backbone

The new facility, expected to be operational by 2028, will initially focus on producing oral cholera vaccines, before expanding to include vaccines for:

• Polio

• Pneumonia

• Meningitis

Once fully functional, the plant is projected to produce 30–40 million vaccine doses annually, significantly boosting regional supply capacity.

Addressing Global Vaccine Shortages

The partners estimate that the facility could help close up to 40% of the global cholera vaccine supply gap, a critical need given recurring outbreaks in vulnerable regions.

Vaccines produced at the facility are expected to be distributed through global procurement mechanisms such as UNICEF and Gavi, the Vaccine Alliance, ensuring equitable access across low- and middle-income countries.

Driving Jobs, Innovation, and Skills Development

Beyond health outcomes, the project is expected to deliver strong economic benefits:

• Creation of over 340 skilled jobs

• Generation of around 7,000 indirect jobs

• Promotion of technology transfer and innovation

• Development of local scientific and manufacturing expertise

Biovac CEO Morena Makhoana emphasised that the facility will not only ensure reliable vaccine supply but also build long-term capabilities in Africa's biotech ecosystem.

Strategic Push for Health Sovereignty

The initiative aligns with the African Union's Vision 2040, which aims to achieve 60% local vaccine production across the continent. It also supports multiple UN Sustainable Development Goals (SDGs), including health, industry, economic growth, and global partnerships.

EIB President Nadia Calviño highlighted that the project will help "save lives by protecting millions of children" while empowering African scientists and healthcare systems.

European Commissioner Jozef Síkela described the investment as a clear example of the Global Gateway strategy in action, combining health security with economic development.

IFC Regional Vice President for Africa Ethiopis Tafara added that strengthening local manufacturing is both a development imperative and a strategic move to enhance resilience against future health crises.

A Shift Toward Regional Resilience

The COVID-19 pandemic exposed deep inequities in global vaccine access, particularly in Africa, which relied heavily on imports. This project marks a decisive shift toward regional self-reliance, reducing dependency on external supply chains and improving responsiveness to health emergencies.

Looking Ahead

As global health systems adapt to emerging threats, the Biovac facility represents a new model of collaborative, investment-driven healthcare infrastructure, combining public and private sector expertise.

With production set to begin by 2028, the initiative is poised to become a cornerstone of Africa's health resilience strategy—delivering not just vaccines, but capacity, confidence, and long-term sustainability.