- The Africa Infrastructure Investment Fund will support projects across Africa’s telecoms, renewable energy, and transport sectors.
- The fund will target utility-scale renewable energy platforms and commercial and industrial projects in the energy sector.
The International Finance Corporation (IFC) announced a $30 million equity investment in the Africa Infrastructure Investment Fund 4 Partnership (AIIF4) to boost essential infrastructure development in African countries. The AIIF4 fund, managed by Africa Infrastructure Investment Managers (AIIM), part of the Old Mutual Group, will support projects in the telecoms, renewable energy, and transport sectors across Africa. It will specifically focus on Côte d’Ivoire, Egypt, Kenya, Morocco, Senegal, and South Africa.
According to IFC, the fund will focus on financing data centres, fibre networks, and communications towers in the telecoms sector. The fund will also target utility-scale renewable energy platforms and commercial and industrial projects in the energy sector. Furthermore, the fund will prioritise investments in mobility and logistics, bulk-handling infrastructure, and temperature-controlled logistics in the transport infrastructure sector.
The Regional Industry Director for Infrastructure and Natural Resources of IFC Africa, Sarvesh Suri, said, “IFC’s partnership with AIIM will support the development of digital assets and bolster the crucial renewable energy and transportation sectors in several African countries. This investment underscores IFC’s commitment to supporting private sector projects that drive access to opportunity and support development in Africa.”
IFC’s $30 million own-account investment will help AIIF4 exceed its final close target of $500 million. IFC’s investment in the AIIF4 fund is aligned with the World Bank Group’s Digital Economy for Africa (DE4A) initiative, which aims to help bridge the digital connectivity gap in sub-Saharan Africa. It also forms part of the World Bank Group’s strategy to accelerate the pace of Africa’s electrification to achieve universal access to power on the continent by 2030.