Ireland today pledged €2m to a new international fund designed to increase business investment in Africa.
Conor Lenihan, Minister of State for Development Co-operation and Human Rights, said the Government was delighted to support the Investment Climate Facility (ICF).
"Development co-operation is about much more than development assistance," he said.
"Clearly, the Millennium Development Goals cannot be realised without sustained economic growth in less developed countries. And sustained economic growth cannot be achieved by relying on development assistance alone.
"It requires the kind of input which can only be generated by the private sector."
Mr Lenihan said the Irish Aid programme was placing increasing emphasis on supporting the development of the private sector in Africa.
"The Investment Climate Facility is an innovative partnership, bringing together governments and the private sector," he said.
"I am confident that this approach will bring real and lasting results.
"I want also to congratulate Niall Fitzgerald, co-chair of the ICF and chairman of Reuters, for the leadership he has shown on this issue."
The Investment Climate Facility is being launched on the margins of the World Economic Forum in Cape Town, South Africa.
The initial funding target for the ICF is €110m.
Ireland has pledged €2m.