The African Development Bank Group has committed $40 million to the Alliance for Green Infrastructure in Africa – Project Development Fund, marking the first close of $118 million toward the Fund’s $400 million target. Managed by Africa50, the Fund aims to mobilize blended, early-stage development capital to deliver a pipeline of investment-ready green infrastructure projects across Africa. This investment reflects a significant step toward unlocking large-scale private sector investment for low-carbon, climate-resilient infrastructure on the continent.
The initiative is backed by a coalition of development finance institutions, public agencies, philanthropic organizations, and private investors, including KfW, the West African Development Bank, the UK’s Foreign, Commonwealth & Development Office, the Three Cairns Group, and the Soros Economic Development Fund. The African Development Bank’s contribution includes $20 million in grants, $10 million in commercial equity, and $10 million in junior equity from the Sustainable Energy Fund for Africa, underscoring its role in de-risking early-stage projects.
The Project Development Fund is part of a broader AGIA initiative led by the African Development Bank, the African Union Commission, and Africa50, which seeks to raise $500 million—$100 million in grants for project preparation and $400 million for project development. This will help unlock an estimated $10 billion investment pipeline in critical sectors such as renewable energy, sustainable transport, and ICT. Since its launch at COP27, the initiative has transitioned from planning to implementation, with the first close demonstrating strong investor confidence.
Partners highlighted the importance of early-stage funding in accelerating the development of bankable green projects, strengthening local capacity, and promoting sustainable economic growth. Contributions from international donors and development banks will support projects like solar farms, water treatment facilities, and renewable energy infrastructure, all aimed at fostering resilience, creating jobs, and driving Africa’s green transition.
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