African Development Bank Group Becomes a Shareholder in Africa Finance Corporation

Photo: AFC
Africa Finance Corporation
13 November 2019
Content from our Premium Partner
African Development Bank (Abidjan)
press release
  • Shareholding follows investment of $50 million in AFC's equity by Bank Group
  • African Development Bank becomes second investment-grade Supranational Finance Institution to join and invest in AFC

Africa Finance Corporation (AFC), a leading infrastructure solutions provider in Africa, today announces that the African Development Bank Group, Africa's highest investment-grade rated (AAA with stable outlook) multinational finance institution, has invested $50 million in the equity of AFC.

The Bank Group's investment in AFC will enable both institutions to accelerate infrastructure development and delivery on the continent by deepening co-financing opportunities, joint implementation, knowledge transfer and capacity development for the benefit of Africa.

The addition of the African Development Bank Group as a shareholder and development finance institution member of AFC, complements the Corporation's strategy of addressing Africa's infrastructure deficit. It also marks a further step in the Bank's undertaking to help reduce poverty, improve living conditions for Africans and mobilize resources for the continent's economic and social development.

The equity investment in AFC further broadens its shareholder base and follows recent equity investments in the Corporation by African Re-Insurance Corporation and the Republic of Ghana. The African Development Bank Group will have representation on the AFC Board of Directors as part of the equity investment.

Samaila Zubairu, President and Chief Executive Officer of AFC, commented on the completion of the equity investment by the Bank: "AFC welcomes the African Development Bank Group as a shareholder and strategic partner, with whom we would continue our collaboration journey to address Africa's Infrastructure deficit and challenging business environment. AFC's mandate is a strategic fit for the Bank's objective to integrate, energize and industrialise Africa."

Dr. Akinwumi A. Adesina, President, African Development Bank Group remarked: "We share AFC's vision of developing Africa-led responses to the continent's socio-economic development. To date, we have worked jointly to deliver transformational projects with tangible impact over the years.

This development is therefore a natural evolution in our partnership, which in turn, will result in delivering solutions to Africa's infrastructure challenges at a faster pace. These solutions will adopt the highest standards, generate value to stakeholders, and foster sustainable development and economic growth across the African continent."

About AFC - www.africafc.org

AFC, an investment grade multilateral finance institution, was established in 2007 with an equity capital base of $1 billion, to be the catalyst for private sector-led infrastructure investment across Africa. With a current balance sheet of approximately $5.07 billion, the Corporation is the second highest investment grade rated multilateral financial institution in Africa with an A3/P2 (Stable outlook) rating from Moody's Investors Service.

AFC invests in high-quality infrastructure assets that provide essential services in the core infrastructure sectors of power, natural resources, heavy industry, transport, and telecommunications. To date, the Corporation has invested over $6.6 billion in projects within 30 countries across Africa.

About African Development Bank Group - www.afdb.org

The African Development Bank Group is a regional multilateral development finance institution established to contribute to the economic development and social progress across Africa. Founded in 1963, and headquartered in Abidjan, Côte d'Ivoire, the Bank is today the highest-rated supranational finance institution in Africa, with a stable AAA outlook from four different credit rating agencies.


Contact:
Lucy Savage,
Vice President, Communications
Tel: + 234 1 279 9600
Email: lucy.savage@africafc.org

Bobby Morse / Augustine Chipungu / Ariadna Peretz
Tel: +44 (0) 207 466 5000
Email: afc@buchanan.uk.com

Amba Mpoke-Bigg
Email: a.mpoke-bigg@afdb.org
Tel: +225 57 25 77 00

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