African and global institutional investors sign on to new $500m infrastructure fund
(AfDB) - The fund will catalyse further investment flows into critical infrastructure, including energy, transportation, telecommunications, and water
Prominent African and global institutional investors have signed on to the new $500 million Africa50 Infrastructure Acceleration Fund - a move described as an unprecedented milestone for Africa. The fund is the first private vehicle infrastructure platform launched by Africa50.
The collaboration brings together a diverse group of influential stakeholders from Africa and outside the region. It comprises 17 African shareholders—including sovereign wealth funds, development finance institutions, banks, pension funds, asset managers, and retirement agencies—and two international Institutional Investors. Other entities are expected to join this first transaction.
To affirm their interest, the shareholders signed subscription agreements and letters of intent to invest in the fund on Monday 3 July, during the Africa50 Infrastructure Forum and General Shareholders Meeting in the Togolese capital.
The fund will catalyse further investment flows to the development of critical infrastructure across the African continent, including energy, transportation, telecommunications, and water, among other areas.
Speaking at the signing event, African Development Bank president, and chair of the Africa50 board, Dr Akinwumi Adesina said: “This is impressive and a first for Africa. It is remarkable and unprecedented to have 17 African institutions participating in such a transforming initiative to invest in an African infrastructure fund. With the Fund, we are positioning the Africa50 Group to play a lead role in helping to tap into the more than $98 trillion of global assets under management.”
The African Development Bank is investing $20 million in equity in the Africa50 Infrastructure Acceleration Fund.
Other investors include the International Finance Corporation, the Nigeria Sovereign Investment Authority, the Arab Bank for Economic Development in Africa, the West African Development Bank, CDC Sénégal, CDC Benin, CNSS Togo, CDG Invest, and Attijariwafa Bank of Morocco...Read more on Ecofin Agency
Source: Ecofin agency