Latest news with #AGIA
Zawya
5 days ago
- Business
- Zawya
African Development Bank Group Commits $40 Million to Catalyze the Alliance for Green Infrastructure
Bank's investment anchors first close of $118 million for Africa's leading green infrastructure initiative The Fund, managed by Africa50, seeks to raise $400 million of blended, early-stage development capital to deliver a pipeline of investment-ready green infrastructure projects in Africa The African Development Bank Group ( has announced $40 million in blended capital to the Alliance for Green Infrastructure in Africa – Project Development Fund, anchoring the Fund's first close of $118 million. This milestone marks a new era towards mobilizing blended capital in project development, to unlock a robust pipeline of investment-ready green infrastructure projects across the continent. The AGIA-PD's strong alliance of development finance institutions, public agencies, philanthropic organizations, and private investors includes KfW (the German development bank), the West African Development Bank (BOAD), the UK's Foreign, Commonwealth&Development Office (FCDO), the Three Cairns Group, and the Soros Economic Development Fund. The African Development Bank's strategic investment in the Fund — comprising $20 million in grants, $10 million in commercial equity, and $10 million in junior equity from the Sustainable Energy Fund for Africa, which the Bank administers— underscores the Bank's leadership in de-risking early-stage projects and catalyzing private investment into infrastructure. 'Through this $40 million spanning grants, junior equity, and commercial equity, the African Development Bank is pioneering a comprehensive approach that will unlock Africa's vast green infrastructure potential,' said Solomon Quaynor, the Bank's Vice President for Private Sector, Infrastructure and Industrialization. 'This investment represents more than capital. It is a bold declaration that the Bank stands ready to share early-stage risk alongside our partner. The resources will be deployed for co-development with both emerging and established developers, ensuring a diverse and scalable pipeline. Our blended-finance model is designed to mobilize billions in private-sector investment for Africa's low-carbon and climate-resilient infrastructure.' The Alliance for Green Infrastructure in Africa - Project Development Fund is part of the AGIA initiative, led by the African Development Bank, the African Union Commission, and Africa50. The initiative aims to raise $500 million, with $100 million in grants for project preparation overseen by the Bank and $400 million for project development through the Fund, to unlock a $10 billion investment pipeline in strategic areas, including energy, sustainable transport, and ICT. 'Since the unveiling of the initiative at COP27, the Alliance for Green Infrastructure in Africa has moved from ambition to execution, and this first close of the AGIA Project Development Fund is a powerful testament to that progress', Africa50, Alain Ebobissé, CEO. He added. 'We are deeply grateful to our founding partners and investors for their trust and commitment. By unlocking early-stage capital, AGIA will help accelerate the development of bankable green infrastructure projects, strengthen local capacity, and pave the way for a more sustainable, resilient, and prosperous Africa. Africa50 is proud to serve as fund manager and drive this vital initiative forward.' Minister of State for Development of the United Kingdom, Jenny Chapman, said, "We are partnering with countries to unlock private investment in the places hardest hit by climate change. This is good news for local communities, helping create growth, and for the UK. Today's UK investment will support African-led projects like solar farms and water treatment plants, helping build stronger economies which can deal better with the effects of climate change.' Christine de Barros Said, Head of Cooperation, German Embassy in Maputo underscored the German government's commitment to support Africa on its path to a sustainable and climate-resilient future. Christine de Barros Said remarked: 'Through KfW, we are providing €26 million to promote more private and public investment in green infrastructure. AGIA identifies and develops projects until they reach creditworthiness and then sells them to investors. This generates important investments in renewable energy, transport, water, and digitalization, which the continent urgently needs to foster economic growth and job creation.' Commenting on the first close, President and Chairman of West African Development Bank, Serge Ekue, said: 'BOAD's commitment to supporting Africa50 in implementing AGIA reaffirms our dedication to closing Africa's infrastructure gap and fostering private sector investment in innovative projects. This contribution is poised to drive sustainable development across the West African Economic and Monetary Union member states and the continent at large.' Mark Gallogly, co-founder of Three Cairns Group, described the AGIA's first close as 'a significant milestone in tackling persistent barriers to scaling clean energy and climate-resilient infrastructure across Africa. We are proud to support this effort and to see catalytic capital flow into early-stage project development — a critical enabler for unlocking economic vitality on the continent.' The CEO of the Soros Economic Development Fund, Georgia Levenson Keohane, said: 'The Soros Economic Development Fund (SEDF) is proud to support the Alliance for Green Infrastructure in Africa, a critically important Africa-led partnership to catalyze transformative green infrastructure projects that enhance climate resilience, accelerate a just energy transition, and drive inclusive, sustainable development across the continent.' Distributed by APO Group on behalf of African Development Bank Group (AfDB). Media Contact: Emeka Anuforo Communication and External Relations Department Email: media@ About the African Development Bank Group: The African Development Bank Group is Africa's premier development finance institution. It comprises three distinct entities: the African Development Bank (AfDB), the African Development Fund (ADF) and the Nigeria Trust Fund (NTF). On the ground in 41 African countries with an external office in Japan, the Bank contributes to the economic development and the social progress of its 54 regional member states. For more information:
Zawya
31-01-2025
- Business
- Zawya
Mission 300: Significant new donor pledges in support of the Sustainable Energy Fund for Africa announced on margins of the Africa Energy Summit
Denmark, the United Kingdom, Spain and France have unveiled new or additional contributions to the Sustainable Energy Fund for Africa, demonstrating strong support for the African Development Bank ( fund as it expands energy access across Africa, including through the Mission 300 partnership. Another new donor – Japan –joined in December 2024 with a $5 million contribution under AGIA ( SEFA is a multi-donor Special Fund that provides catalytic finance to unlock private sector investments in renewable energy and energy efficiency. It aims to contribute to universal access to affordable, reliable, sustainable, and modern energy services for all in Africa in line with the New Deal on Energy for Africa and Mission 300. Mission 300 ( an ambitious new partnership of the African Development Bank Group, the World Bank Group and other development partners, aims to provide access to electricity to an additional 300 million Africans by 2030. France, a new donor to SEFA, will provide €10 million. Denmark, the UK and Spain will increase existing contributions by DKK 100 million (€13.4 million), £8.5 million (€10.13) and €3 million, respectively. France's contribution will bolster the Africa Green Infrastructure Alliance (AGIA) ( a platform of the African Development Bank, Africa 50 and other partners that will develop transformative sustainable infrastructure projects for investment. These contributions come as SEFA enjoyed its best year on record in 2024, with $108 million approved for 14 projects. SEFA now boasts a portfolio of over $300 million in highly impactful investments and technical assistance programmes, which is expected to unlock up to $15 billion in investments and deliver approximately 12 million new electricity connections. Denmark's Acting State Secretary for Development Policy, Ole Thonke, said: "Africa is endowed with enormous untapped potential for renewable energy, which can fuel green industrialisation. The latest Danish financial contribution to SEFA will focus on the newly established Africa-led Accelerated Partnership for Renewables in Africa (APRA), further supporting the continent's ambitious development and climate goals." "We are halfway through this decisive decade to achieve the sustainable development goals and get on track to tackle climate change,' said Rachel Kyte, UK Special Representative for Climate, Foreign, Commonwealth and Development Office. 'Achieving our collective goals of reliable, affordable and clean power is a golden thread that links economic growth, greater investment, strengthened resilience and climate ambition. By accelerating the roll-out of clean power, the UK and Mission 300 are putting green and inclusive growth at the heart of our partnerships with Africa. Our announcement of an additional £8.5 million in UK funding for the AfDB's SEFA will mobilise the much-needed private sector investment so that more Africans can access clean power right across the continent." Inés Carpio San Román, Alternate Governor of Spain for the African Development Bank, said, "We are pleased that Spain has decided to renew its support for the SEFA fund with a contribution of €3 million. This reaffirms our commitment to the crucial sector of renewable energy, which plays a key role in fostering sustainable development across Africa." "As a strong supporter of Africa's green infrastructure investments with financial tools that mobilise private finance, France is proud to contribute €10 million to the AGIA through SEFA,' stated Bertrand Dumont, Director General of the French Treasury and Governor for France at the African Development Bank. 'This very first contribution is our first step towards reinforcing Africa's sustainable development and accelerating the continent's path to a low-carbon economy. By investing in green infrastructure in Africa, we are investing for the future.' Dr Daniel Schroth, Director of Renewable Energy and Energy Efficiency at the African Development Bank, said, "We welcome the new commitments from donors whose support underscores the impactful work of SEFA. These contributions are essential in enabling SEFA to fulfil its role as a key delivery vehicle for Mission 300 at this pivotal moment." Distributed by APO Group on behalf of African Development Bank Group (AfDB). ABOUT SEFA: SEFA is a multi-donor Special Fund that provides catalytic finance to unlock private sector investments in renewable energy and energy efficiency. SEFA offers technical assistance and concessional finance instruments to remove market barriers, build a more robust pipeline of projects and improve the risk-return profile of individual investments. The Fund's overarching goal is to contribute to universal access to affordable, reliable, sustainable, and modern energy services for all in Africa, in line with the New Deal on Energy for Africa and the M300. About the African Development Bank Group: The African Development Bank Group is Africa's premier development finance institution. It comprises three distinct entities: the African Development Bank (AfDB), the African Development Fund (ADF) and the Nigeria Trust Fund (NTF). On the ground in 41 African countries with an external office in Japan, the Bank contributes to the economic development and the social progress of its 54 regional member states. For more information:
