De Lille welcomes European Investment Bank cash injection into Biovac

Minister of Public Works and Infrastructure Patricia de Lille has welcomed the European Investment Bank’s (EIB’s) injection of €175-million to South Africa’s specialist human vaccine manufacturer Biovac.

The pledge is in close cooperation with the European Union’s (EU’s) injection of €175-million to Biovac.

The EIB’s first support for vaccine investment in South Africa is expected to increase yearly production capacity at Biovac’s Cape Town plant to 500-million doses, enable manufacturing of viral and bacterial targeted vaccines and strengthen resilience to future pandemics in Africa.

Biovac is listed as one of Infrastructure South Africa's (ISA's) critical social projects registered and approved in its pipeline.

ISA is working closely with Biovac and the Western Cape to unlock an additional R260-million, which will further aid in the expansion of Biovac as a manufacturing company for Africa.

The EIB is increasing targeted support for health investment and has provided €1.7-billion for health investment across the continent.

Since the pandemic, EIB has provided more than €8-billion for private and public investment across Africa.

EIB VP Ambroise Fayolle said the bank was working with experienced partners across Africa and around the world to improve health security and develop vaccines.

He said the EIB was pleased to back preparation of large-scale investment by Biovac to transform Africa’s vaccine production capacity and strengthen resilience against future pandemics.

Biovac CEO Dr Morena Makhoana said Africa remained highly vulnerable to vaccine-preventable diseases including Covid and future pandemics.

Scaling up local vaccine development and manufacturing capacity is crucial to enable a quicker and more effective response to future health crises. The new EIB and EU support for feasibility studies and preparatory works will maximise the impact of large-scale investment at Biovac’s pioneering Cape Town plant and enable Africa to host a world-class international vaccine manufacturing facility.

“This is a key milestone in ensuring that South Africa has the required vaccine manufacturing capacity to respond to both local and regional needs,” said Makhoana.

EU Ambassador to South Africa Dr Riina Kionka said the Covid-19 pandemic had highlighted both the importance of a rapid response to a pandemic and local vaccine production capabilities to ensure equitable access to vaccines.

“Biovac was also one of the projects highlighted at this year’s South African investment conference and is certainly a centre of excellence for vaccine manufacturing in Southern Africa."