ImpactAlpha, January 17 – The $100 billion gap in Africa’s annual infrastructure financing needs isn’t evenly spread. The Emerging Africa Infrastructure Fund is known for backing projects in Chad, Côte d’Ivoire and Africa’s other underdeveloped markets. It often provides first-in senior debt to catalyze other private investors, and scales back its commitments for projects with sufficient private market interest.
Allianz Global Investors and German development bank KfW topped up previous investments in EAIF in a new $294 million debt round. South Africa-based Standard Bank provided $100 million in sustainability linked credit and term-debt.
EAIF’s Martijn Proos said the fund’s latest funding is “a sign of private investor confidence that strengthens our ability to pioneer new models for infrastructure development.”
EAIF is part of the Private Infrastructure Development Group, an investment organization backed by European donor countries to catalyze infrastructure investments in Africa and Asia with vehicles for lending and derisking. EAIF has financed 96 projects in 20 African countries, including a $30 million investment for AXIAN Energy’s solar pipeline. It plans to expand to Asia this year.