Africa50, a leading pan-African infrastructure investor and asset manager, is aiming to raise USD 300m–400m for its Infrastructure Acceleration Fund (IAF) while bringing in new shareholders. Managing Director Demba Diallo outlined the organisation’s ambitious plans to accelerate transformative infrastructure development across the continent.
Key Fundraising and Investment Goals 📊
- Infrastructure Acceleration Fund (IAF): A 12-year, closed-end private equity fund designed to finance large-scale infrastructure projects.
- Initial Raise: USD 222.5m in 2023 from LPs, including Nigeria’s Sovereign Wealth Fund, Angola Sovereign Fund, and Moroccan pension and insurance funds.
- Second Close: Targeting an additional USD 300m–400m in 2025 to scale investments.
Strategic Business Lines 🚀
- Project Development: Early-stage financing and political support to create bankable projects.
- Project Finance: Equity and quasi-equity investments of USD 20m+ for impactful infrastructure projects.
- Infrastructure Acceleration Fund (IAF): Long-term equity investments in transformative infrastructure projects.
Alliance for Green Infrastructure in Africa 🌱
Africa50 is collaborating with the African Development Bank on the Alliance for Green Infrastructure in Africa (AGIA), a USD 500m initiative aiming to mobilize USD 10bn for climate-friendly projects. Key details:
- USD 100m: For project preparation.
- USD 400m: For project development, attracting lenders and equity investors to climate-related sectors such as energy, transport, and health.
Innovative Initiatives 📈
- Asset Recycling Program: Africa’s first program to refinance public-funded, revenue-generating infrastructure, enabling governments to reinvest proceeds into new projects while upgrading existing assets.
Why This Matters 🌍
Africa50 plays a pivotal role in addressing Africa’s infrastructure deficit, leveraging a capital base of USD 1.1bn and private sector financing of USD 4.4bn to deliver projects worth over USD 8bn. With 32 member countries and a strong alignment with the African Union’s Agenda 2063, Africa50 is driving growth across critical sectors, including energy, transport, ICT, and healthcare.
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