Lagos, Nigeria – (COMMERCIAL THREAD) – In an important step for its Pan-African mission, Africa Finance Corporation, one of the region’s largest investors in infrastructure development, announces today that it has passed the 30 member states, representing more than the half of the continent.
Membership of Burkina Faso, the Democratic Republic of the Congo and Morocco, all in the first quarter of 2021, brings the total number of AFC member states to 31, an increase from 26 members a year ago .
“This is a historic achievement for AFC as we continue to expand our presence on the continent,” said Samaila Zubairu, President and CEO of AFC. “I am pleased to welcome the Republic of Burkina Faso, the Democratic Republic of Congo and the Kingdom of Morocco as member countries of AFC. Through this expanded membership and our technical expertise, we are empowered to provide critical infrastructure with a greater focus on energy, renewable energy and digital infrastructure to rebuild a more resilient and sustainable economy after COVID-19. ”
With a mission to close Africa’s infrastructure gap, AFC has invested more than $ 8.7 billion in 35 African countries, using its unique access to global capital markets to boost development, integrate the economies of the continent and transforming lives. Recent examples include a € 130 million investment in the Agency for Air Navigation Safety in Africa and Madagascar, which provides air traffic management services; Funding of US $ 62.2 million for the 60 MW Red Sea Wind Power Project in Djibouti; and an investment of US $ 150 million in the assets of the ARISE special economic zone in Benin and Togo, with a strategic vision to build competitive industrial and logistics ecosystems.
Member countries enjoy significant benefits, including increased investment allocation, privileged access to AFC structuring and lending solutions for sovereign states, reduced debt costs for projects, and access to financial resources. consulting services to the public sector and the development of Company projects. These interventions aim to help Member States address critical infrastructure gaps in AFC’s core sectors of energy, transport, natural resources, telecommunications and heavy industry.
In return, member governments facilitate AFC’s investment process by granting diplomatic privileges and immunities commensurate with the Company’s multilateral status. This reduces the cost of debt financing and improves the bankability of projects, while enabling the Company to mobilize global financing for the economic development of the continent.
Commenting on Burkina Faso’s accession, the Minister of Economy, Finance and Development, Lassané Kaboré, declared: “As part of our commitment to reduce poverty in Burkina Faso and transform the Burkinabè economy, we look forward to working with AFC, a pan-African institution, to develop infrastructure projects in catalyst sectors such as transport, logistics and mining for the sustainable development of the country.
Speaking on Morocco’s membership, the Minister of Economy, Finance and Administrative Reform, Mohamed Benchaaboun, said: “The Kingdom of Morocco is happy to join AFC at such a critical time. . We look forward to completing the legal ratification procedures as soon as possible, so that we can reap the many benefits of AFC membership, including its strong network, as we continue our program of seeking more strategic partnerships in Sub-Saharan Africa “.
AFC’s transformational projects across Africa include the US $ 887 million Kpone Independent Power Project (IPP), which increased Ghana’s power production by 10%; the $ 365 million Henri Konan Bédié bridge in Côte d’Ivoire, which provides quick and easy access to central Abidjan; and the $ 160 million Bakwena toll road in South Africa, which has significantly reduced the time and cost of travel to and from Pretoria.
Along with the Central Bank of Nigeria and the Nigerian Sovereign Investment Authority, AFC is one of the three institutions behind the new Nigeria Infrastructure Corporation (InfraCo), created to catalyze and accelerate investments in sectors such as transportation and logistics, energy, telecommunications and technology, mining & enrichment, and agriculture.
AFC was established in 2007 to be the catalyst for private sector led infrastructure investments across Africa. It is the second highest rated multilateral financial institution in Africa. AFC’s approach combines specialized industrial expertise with a focus on financial and technical advice, project structuring, project development and venture capital to meet Africa’s infrastructure development needs and stimulate a sustainable economic growth. AFC invests in high quality infrastructure assets that provide essential services in the basic infrastructure sectors of energy, natural resources, heavy industry, transport and telecommunications. To date, the Company has invested over US $ 8.7 billion in projects in 35 African countries. www.africafc.org