Latest news with #AfricaFinanceCorporation
Zawya
27-05-2025
- Business
- Zawya
Africa Finance Corporation (AFC) Backs Mota-Engil Africa with EUR 100M Facility to Boost Gold Mining in West Africa
Africa Finance Corporation ( the continent's leading infrastructure solutions provider, today announced that it has provided a EUR 100 million, 5year term facility to Mota-Engil Africa (MEA), the regional arm of the global construction giant, Mota -Engil Group. The funding will support the acquisition of equipment, inventories, and site infrastructure for the execution of three new gold- mining contracts in Côte d'Ivoire and Mali. AFC's funding will enable Mota-Engil Africa to scale up operations in West Africa's burgeoning mining sector, where gold remains a critical export commodity and a driver of local employment and foreign exchange earnings. The new mining contracts represent a significant boost for the mining industries in both Côte d'Ivoire and Mali, countries with substantial untapped mineral potential. The facility is another milestone in AFC and MEA's longstanding strategic relationship with MEA, which began in 2016. AFC has played a leading advisory role in several of the institution's recent landmark transactions including the new Bugesera International Airport project in Rwanda, the US$2 billion Kano Moradi rail project in Nigeria and the 1,289km Lobito I rail line project in Angola, where AFC is acting as financial adviser to Lobito Atlantic Railway- the consortium comprising Mota Engil Africa, Trafigura and Vecturis SA. Commenting on the transaction, Samaila Zubairu, President&CEO of Africa Finance Corporation, said: "This transaction underscores the strength of our decade-long relationship with Mota-Engil Africa and our shared vision to deliver sustainable economic transformation across Africa. Gold continues to be a vital economic driver for many African nations, and through this investment, AFC is helping to unlock long-term value- supporting export earnings, job creation, and broader industrial development of the region.' Manuel Mota, Chairman, Mota-Enjil Africa said: 'Today marks a significant milestone for Mota-Engil Africa. We are proud to announce the successful closing of financing for three new mining projects, in partnership with Africa Finance Corporation. This achievement reflects not only the strength of our project portfolio but also the confidence that premier institutions like AFC place in our strategy, our capabilities, and our people.' This latest investment builds on AFC's strategy to expand its portfolio into critical contractor financing initiatives across Africa; not only supporting the execution of critical public and private sector projects but unlocking much needed on and off-balance sheet financing opportunities. Notably, AFC is also the commercial tranche financier of the 186 Metallic Bridges project being constructed by Conduril Engenharia S.A. in Angola. AFC continues to work with contractors, providing critical funding to unlock value and to close the infrastructure gap, driving industrialisation, economic resilience, and sustainable development across the continent. Distributed by APO Group on behalf of Africa Finance Corporation (AFC). Media Enquiries: Yewande Thorpe Communications Africa Finance Corporation Mobile : +234 1 279 9654 Email : About AFC: AFC was established in 2007 to be the catalyst for pragmatic infrastructure and industrial investments across Africa. AFC's approach combines specialist industry expertise with a focus on financial and technical advisory, project structuring, project development, and risk capital to address Africa's infrastructure development needs and drive sustainable economic growth. Eighteen years on, AFC has developed a track record as the partner of choice in Africa for investing and delivering on instrumental, high-quality infrastructure assets that provide essential services in the core infrastructure sectors of power, natural resources, heavy industry, transport, and telecommunications. AFC has 45 member countries and has invested over US$15 billion in 36 African countries since its inception.
Zawya
14-05-2025
- Business
- Zawya
Invest in African Energy (IAE) 2025: Innovative Financing to Unlock Africa's Energy Potential
Africa holds immense energy potential, with more than 125 billion barrels of proven oil reserves, 620 trillion cubic feet of natural gas and 60% of the world's best solar resources. Yet, the continent continues to struggle with attracting the capital needed to leverage these resources for transformative development. Addressing this paradox, panelists at the Invest in African Energy Forum in Paris underscored how innovative financing mechanisms can help unlock Africa's vast energy opportunities. 'There's a huge amount of financing required to close the financing gap on the continent. It's quite clear that there's not enough capital and we need to think about innovative ways to source capital. With the right fiscal regimes, regulatory frameworks and policies, investors will come to invest in the energy sector in Africa,' stated Taiwo Okwor, Vice President: Invest Division and Natural Resources Division at development institution the Africa Finance Corporation. By utilizing innovative financing tools and regional cooperation mechanisms, Africa will be able to scale investments and reduce risk. Additionally, by leveraging blended finance, de-risking strategies and multilateral partnerships, countries can not only secure capital but bolster energy access at a continental scale. However, challenges will need to be addressed, including lack of investor certainty, regulatory barriers and red tape. 'Investors thrive on predictability,' stated Ibra Ndiaye, Partner: Energy, Industry&Services at professional services network Forvis Mazars. 'According to the African Energy Chamber, 45% of investors cite uncertainty in legal frameworks in Africa as a major concern before entering new markets. This ambiguity in regulatory frameworks creates a delay in project implementation.' To address regulatory challenges and increase energy capacity, there is an urgent need for systemic reform in the continent's utility companies. Stronger institutions and reforms have emerged as critical drivers for attracting private sector involvement. Panelists noted that many state-owned utilities across Africa are unable to deliver consistent and reliable energy services due to financial instability and poor infrastructure. 'What have we done to improve the quality of utilities going forward? I think 85% of utilities across Africa are technically insolvent and cannot meet the energy needs of Africans,' stated Reginald Max, Senior Advisor for Infrastructure and Independent Power Producers for financial institution the Trade and Development Bank. Max added that until the underlying inefficiencies in energy distribution and cost recovery are addressed, investor confidence will remain weak. Another core issue raised was the necessity of implementing cost-reflective tariffs. Tariff policies in many countries have kept electricity prices artificially low, discouraging private investment and further burdening state utilities. 'The key is cost-reflective tariffs,' stated Liz Williamson, Head of Energy Corporate Finance at investment banking firm Rand Merchant Bank, adding, 'We need the political will to go through the pain to get to cost-reflective tariffs. This could make a big difference in terms of liability.' As the session concluded, the panelists emphasized that while the continent faces considerable hurdles, the combination of its resource wealth and growing investor interest presents a promising path forward – if governments and stakeholders can align on reform, innovation and regional integration. Distributed by APO Group on behalf of Energy Capital&Power.
Zawya
28-04-2025
- Business
- Zawya
Africa Finance Corporation Appoints Ireti Samuel-Ogbu as Chair of Board of Directors
Africa Finance Corporation (AFC) ( the continent's leading instrumental infrastructure solutions provider, today announced the appointment of Mrs Ireti Samuel-Ogbu as Chair of its Board of Directors. She succeeds Mr. Emeka Emuwa who has completed 12 years of meritorious service to the Corporation. Mrs. Samuel-Ogbu brings a wealth of experience spread over three decades leading and transforming the banking sector in Europe, Middle East, and Africa. Until recently, she led Citi's institutional businesses in Nigeria and Ghana, with oversight across Banking, Markets and Services. During this period, she steered the franchise through significant macroeconomic and regulatory headwinds, strengthening its strategic momentum and resilience. Her international career within Citibank included senior leadership roles across over 50 countries in the Europe, Middle East, and Africa region, during which time she worked in the United Kingdom, Nigeria, and South Africa. Mrs. Samuel-Ogbu has extensive boardroom experience including Citibank Nigeria where she was a Non-Executive Director for 6 years and Chair of the Risk Committee prior to becoming the Managing Director. She also served on the board of CHAPS Clearing UK, the high value payment system now operated by the Bank of England and a UK-based charity, Opportunity International. Her extensive experience and unwavering dedication to the advancement of Africa make her a valuable asset to AFC at a time when the Corporation is more committed than ever to accelerating Africa's transformation through bold investments, innovative financing models and catalytic partnerships. AFC recently delivered a record-breaking FY2024 financial performance, with total revenue increasing by 22.8% to US$1.1 billion, surpassing the US$1 billion milestone for the first time. This strong performance was driven by several transformational projects including acting as the Lead Project Developer for the Lobito Corridor, a transformative multi-country transport network connecting Angola, Zambia and the Democratic Republic of Congo (DRC), financing of the expansion of the Kamoa-Kakula Copper Complex in the DRC — one of the world's highest-grade, low-carbon underground copper mines and financing support for the commissioning of the Dangote Refinery, the largest in Africa. Speaking on the appointment, Samaila Zubairu, President&CEO of AFC, said: " We are delighted to welcome Mrs Ireti Samuel-Ogbu as Chair of the Board. Her wealth of experience, visionary leadership and deep understanding of Africa's financial landscape will be invaluable as we navigate our next phase of growth- expanding our impact, mobilising urgently needed capital and delivering transformative projects that enable inclusive and sustainable prosperity across the continent.' Mrs Ireti Samuel-Ogbu commented: 'I am honoured to take on the role of Chair at AFC, an institution that serves as a trusted bridge between international capital and Africa's dynamic growth opportunities. I look forward to working closely with the board, management, and all stakeholders to advance the Corporation's mission and strengthen its role as the leading provider of strategic, investment-driven solutions that unlock Africa's full economic potential.' Distributed by APO Group on behalf of Africa Finance Corporation (AFC). Media Enquiries: Yewande Thorpe Communications Africa Finance Corporation Mobile +234 1 279 9654 Email: About AFC: AFC was established in 2007 to be the catalyst for pragmatic infrastructure and industrial investments across Africa. AFC's approach combines specialist industry expertise with a focus on financial and technical advisory, project structuring, project development, and risk capital to address Africa's infrastructure development needs and drive sustainable economic growth. Seventeen years on, AFC has developed a track record as the partner of choice in Africa for investing and delivering on instrumental, high-quality infrastructure assets that provide essential services in the core infrastructure sectors of power, natural resources, heavy industry, transport, and telecommunications. AFC has 45 member countries and has invested over US$15 billion in 36 African countries since its inception.
Zawya
10-04-2025
- Business
- Zawya
Africa Finance Corporation hits record $1bln revenue with landmark projects
Africa Finance Corporation (AFC), the continent's well-known infrastructure solutions provider, has reported its strongest financial results to date, with total revenue for the year ended 31 December 2024 exceeding $1bn for the first time in its history. This record performance marks a significant milestone in AFC's mission to close Africa's infrastructure gap through scalable, de-risked investments that attract global capital and deliver tangible development outcomes. The Corporation posted a 22.8% increase in total revenue to $1.1bn and a 22.3% rise in total comprehensive income to $400m, up from $327m in 2023. AFC's earnings growth was driven by improved asset yields, prudent cost-of-funds management and sustained traction in advisory mandates. Further significant financial highlights include: - Net interest income up 42.5% to $613.6m - Fee and commission income rose to $109m, the highest in over five years - Operating income climbed 42.7% to $709.7m - Total assets reached a record $14.4bn, a 16.7% year-on-year increase - Liquidity coverage ratio strengthened to 194%, providing over 34 months of cover - Cost-to-income ratio improved to 17.3% from 19.6% in 2023 Throughout 2024, AFC continued to scale its impact by mobilising capital for landmark projects across energy, transport, and natural resources. These included the Lobito Corridor – a cross-border railway development spanning Angola, the Democratic Republic of Congo (DRC), and Zambia. AFC led the initiative to secure a concession agreement within one year of the initial Memorandum of Understanding (MoU), an unprecedented achievement for a project of its scale. In the DRC, AFC also invested $150m in the Kamoa-Kakula Copper Complex, Africa's largest copper producer and one of the most sustainable globally, thanks to its high-grade ore and renewable-powered smelter. Strategic capital expansion Other milestone transactions included financing support for the commissioning of the Dangote Refinery, the largest in Africa, and continued progress on AFC-backed Infinity Power Holding's 10 GW clean energy ambition, with power purchase agreements secured in Egypt and South Africa. AFC also invested in the 15GW Xlinks Morocco-UK Power Project, providing $14.1m to support early-stage development of a transcontinental renewable energy pipeline between North Africa and Europe. AFC strengthened its capital base and expanded its investor network through several landmark funding initiatives. These included a $ 1.16bn syndicated loan - the largest in its history, a $500m perpetual hybrid bond issue, and the successful execution of Nigeria's first-ever domestic dollar bond, which raised $900m at 180% oversubscription. AFC also returned to the Islamic finance market after eight years, closing a $400m Shariah-compliant facility. The year also saw strong momentum in equity mobilisation, with $181.8m in new capital raised from 10 institutional investors. These included Turk Eximbank - AFC's first non-African sovereign shareholder - the Arab Bank for Economic Development in Africa (BADEA), and several major pension funds spanning Cameroon, Seychelles, Mauritius, and South Africa. Ratings agencies affirmed AFC's robust credit profile, with AAA ratings from S&P Global (China) and China Chengxin International, and a stable A3 Outlook from Moody's. 'These results send a clear message that strategic investment in African infrastructure creates lasting value for both beneficiaries and investors,' said Samaila Zubairu, president and chief executive officer of AFC. 'In 2024, we exceeded the billion-dollar revenue mark, delivered game-changing projects, and reinforced our financial resilience—demonstrating the scalability of our unique model that blends purpose with performance to accelerate Africa's economic transformation.'
Zawya
09-04-2025
- Business
- Zawya
Africa Finance Corporation Tops US$1 Billion Revenue for First Time as Landmark Projects Unlock Growth Across the Continent
Africa Finance Corporation (AFC) ( the continent's leading infrastructure solutions provider, has announced its strongest financial performance to date, with total revenue for the year ended 31 December 2024 surpassing US$ 1 billion for the first time in the Corporation's history. This record performance marks a significant milestone in AFC's mission to close Africa's infrastructure gap through scalable, de-risked investments that attract global capital and deliver tangible development outcomes. The Corporation posted a 22.8% increase in total revenue to US$1.1 billion and a 22.3% rise in total comprehensive income to US$400 million, up from US$327 million in 2023. AFC's earnings growth was driven by improved asset yields, prudent cost-of-funds management and sustained traction in advisory mandates. Further significant financial highlights include: Net interest income up 42.5% to US$ 613.6 million Fee and commission income rose to US$109 million, the highest in over five years Operating income climbed 42.7% to US$709.7 million Total assets reached a record US$14.4 billion, a 16.7% year-on-year increase Liquidity coverage ratio strengthened to 194%, providing over 34 months of cover Cost-to-income ratio improved to 17.3% from 19.6% in 2023 Throughout 2024, AFC continued to scale its impact by mobilising capital for landmark projects across energy, transport, and natural resources. These included the Lobito Corridor – a cross-border railway development spanning Angola, the Democratic Republic of Congo (DRC), and Zambia. AFC led the initiative to secure a concession agreement within one year of the initial Memorandum of Understanding (MoU), an unprecedented achievement for a project of its scale. In the DRC, AFC also invested US$150 million in the Kamoa-Kakula Copper Complex, Africa's largest copper producer and one of the most sustainable globally, thanks to its high-grade ore and renewable-powered smelter. Other milestones transactions included financing support for the commissioning of the Dangote Refinery, the largest in Africa, and continued progress on AFC-backed Infinity Power Holding's 10 GW clean energy ambition, with power purchase agreements secured in Egypt and South Africa. AFC also invested in the 15GW Xlinks Morocco-UK Power Project, providing US$14.1 million to support early-stage development of a transcontinental renewable energy pipeline between North Africa and Europe. AFC strengthened its capital base and expanded its investor network through several landmark funding initiatives. These included a US$ 1.16 billion syndicated loan - the largest in its history, a US$500 million perpetual hybrid bond issue, and the successful execution of Nigeria's first-ever domestic dollar bond, which raised US$900 million at 180% oversubscription. AFC also returned to the Islamic finance market after eight years, closing a US$400 million Shariah-compliant facility. The year also saw strong momentum in equity mobilisation, with US$181.8 million in new capital raised from ten institutional investors. These included Turk Eximbank - AFC's first non-African sovereign shareholder - the Arab Bank for Economic Development in Africa (BADEA), and several major pension funds spanning Cameroon, Seychelles, Mauritius, and South Africa. Ratings agencies affirmed AFC's robust credit profile, with AAA ratings from S&P Global (China) and China Chengxin International, and a stable A3 Outlook from Moody's. 'These results send a clear message that strategic investment in African infrastructure creates lasting value for both beneficiaries and investors,' said Samaila Zubairu, President&CEO of AFC. 'In 2024, we exceeded the billion-dollar revenue mark, delivered game-changing projects, and reinforced our financial resilience—demonstrating the scalability of our unique model that blends purpose with performance to accelerate Africa's economic transformation.' Read the full annual report here ( Distributed by APO Group on behalf of Africa Finance Corporation (AFC). Media Enquiries: Yewande Thorpe Communications Africa Finance Corporation Mobile: +234 1 279 9654 Email: About AFC: AFC was established in 2007 to be the catalyst for pragmatic infrastructure and industrial investments across Africa. AFC's approach combines specialist industry expertise with a focus on financial and technical advisory, project structuring, project development, and risk capital to address Africa's infrastructure development needs and drive sustainable economic growth. Seventeen years on, AFC has developed a track record as the partner of choice in Africa for investing and delivering on instrumental, high-quality infrastructure assets that provide essential services in the core infrastructure sectors of power, natural resources, heavy industry, transport, and telecommunications. AFC has 45 member countries and has invested over US$15 billion in 36 African countries since its inception.
