The African Development Bank (AfDB) Group has announced $40 million in blended capital to the Alliance for Green Infrastructure in Africa – Project Development Fund (AGIA-PD), anchoring the Fund’s first close of $118 million.
In a statement issued by the Apo Group on behalf of the AfDB, the Bank described the milestone as marking a new era in mobilising blended capital for project development to unlock a robust pipeline of investment-ready green infrastructure projects across the continent.
Who’s backing the Fund
AGIA-PD brings together a strong alliance of development finance institutions, public agencies, philanthropic organisations, and private investors, including:
- KfW (German development bank)
- West African Development Bank (BOAD)
- The UK’s Foreign, Commonwealth & Development Office (FCDO)
- Three Cairns Group
- Soros Economic Development Fund (SEDF)
AfDB’s $40m: how it’s structured
The AfDB’s strategic commitment totals $40 million, broken down as:
- $20 million in grants
- $10 million in commercial equity
- $10 million in junior equity from the Sustainable Energy Fund for Africa (SEFA), which the AfDB administers
The Bank says this structure underscores its leadership in de-risking early-stage projects and catalysing private investment into infrastructure.
Solomon Quaynor, AfDB Vice President for Private Sector, Infrastructure & Industrialisation:
“Through this $40 million spanning grants, junior equity, and commercial equity, the African Development Bank is pioneering a comprehensive approach that will unlock Africa’s vast green infrastructure potential. This investment represents more than capital. It is a bold declaration that the Bank stands ready to share early-stage risk alongside our partner. The resources will be deployed for co-development with both emerging and established developers, ensuring a diverse and scalable pipeline. Our blended-finance model is designed to mobilise billions in private-sector investment for Africa’s low-carbon and climate-resilient infrastructure.”
What AGIA aims to do
AGIA-PD is part of the broader Alliance for Green Infrastructure in Africa (AGIA) initiative, led by the AfDB, the African Union Commission, and Africa50. The initiative targets:
- $500 million total raise:
- $100 million in grants for project preparation (overseen by the AfDB)
- $400 million for project development through AGIA-PD
- Goal: unlock a $10 billion investment pipeline in energy, sustainable transport, and ICT.
Africa50 serves as fund manager.
Alain Ebobissé, CEO, Africa50:
“Since the unveiling of the initiative at COP27, the Alliance for Green Infrastructure in Africa has moved from ambition to execution, and this first close of the AGIA Project Development Fund is a powerful testament to that progress. We are deeply grateful to our founding partners and investors for their trust and commitment. By unlocking early-stage capital, AGIA will help accelerate the development of bankable green infrastructure projects, strengthen local capacity, and pave the way for a more sustainable, resilient, and prosperous Africa. Africa50 is proud to serve as fund manager and drive this vital initiative forward.”
Partner statements & amounts
- United Kingdom — Jenny Chapman, Minister of State for Development:
“We are partnering with countries to unlock private investment in the places hardest hit by climate change. This is good news for local communities, helping create growth, and for the UK. Today’s UK investment will support African-led projects like solar farms and water treatment plants, helping build stronger economies which can better deal with the effects of climate change.” - Germany (KfW) — Christine de Barros Said, Head of Cooperation, German Embassy in Maputo:
“Through KfW, we are providing €26 million to promote more private and public investment in green infrastructure. AGIA identifies and develops projects until they reach creditworthiness and then sells them to investors. This generates important investments in renewable energy, transport, water, and digitalisation, which the continent urgently needs to foster economic growth and job creation.” - BOAD — Serge Ekue, President & Chairman:
“BOAD’s commitment to supporting Africa50 in implementing AGIA reaffirms our dedication to closing Africa’s infrastructure gap and fostering private sector investment in innovative projects. This contribution is poised to drive sustainable development across the WAEMU member states and the continent at large.” - Three Cairns Group — Mark Gallogly, Co-founder:
“A significant milestone in tackling persistent barriers to scaling clean energy and climate-resilient infrastructure across Africa. We are proud to support this effort and to see catalytic capital flow into early-stage project development — a critical enabler for unlocking economic vitality on the continent.” - Soros Economic Development Fund — Georgia Levenson Keohane, CEO:
“SEDF is proud to support AGIA, a critically important Africa-led partnership to catalyze transformative green infrastructure projects that enhance climate resilience, accelerate a just energy transition, and drive inclusive, sustainable development across the continent.”
