AfDB Injects $100M into EAAIF to Advance Africa’s Green and Digital Future

The AfDB’s loan enhances EAAIF’s capacity to mobilise blended finance, a model that uses public or development finance to de-risk and leverage private capital.

In a major push to catalyse sustainable infrastructure across Africa, the African Development Bank Group (AfDB) has approved a $100 million loan to the Emerging Africa and Asia Infrastructure Fund (EAAIF). The decision, backed by the Bank’s Board of Directors, is part of a strategic effort to attract private sector investment into sectors critical for inclusive economic growth and climate resilience—such as renewable energy, digital infrastructure, and transportation.

This marks the fourth such loan extended by the AfDB to the Fund, reinforcing a long-standing partnership aimed at accelerating the development of bankable infrastructure projects that improve access to essential services, support economic transformation, and contribute to global sustainability goals.

Mobilising Capital for Sustainable Transformation

EAAIF, a company under the Private Infrastructure Development Group (PIDG) and managed by investment firm Ninety One, plays a pivotal role in de-risking and co-financing infrastructure projects in frontier and emerging markets across Africa and Asia.

With this latest AfDB contribution, the Fund is now equipped to mobilise additional long-term capital from private investors under its 2025 $300 million debt-raising programme. The overarching goal is to invest over $850 million in strategic infrastructure projects across both continents by 2027, significantly increasing the scale and scope of sustainable investments.

Addressing Africa’s Infrastructure Deficit

Africa continues to face a vast infrastructure financing gap, estimated between $68 billion and $108 billion annually, according to AfDB research. The continent's growing population, urbanisation trends, and climate vulnerabilities have amplified the urgency of building resilient and inclusive infrastructure networks.

Mike Salawou, Director of AfDB’s Infrastructure and Urban Development Department, highlighted the importance of the partnership:

“Partnering with the Emerging Africa and Asia Infrastructure Fund allows us to unlock long-term financing for critical projects that power economies, create jobs, and improve lives across Africa. It also helps close the continent’s infrastructure financing gap by attracting private capital to high-impact projects in emerging and frontier markets.”

Focus Areas: Energy, Connectivity, and Climate

The EAAIF’s investment mandate spans multiple sectors, with a strong emphasis on:

• Renewable Energy: Accelerating clean power projects that reduce reliance on fossil fuels and improve energy access.

• Digital Connectivity: Supporting broadband expansion, mobile infrastructure, and data systems critical for economic inclusion.

• Transport Infrastructure: Funding roads, railways, and logistics hubs that improve trade and regional integration.

• Climate Adaptation and Resilience: Promoting projects that help communities and businesses cope with the impacts of climate change.

Sumit Kanodia, Director at Ninety One and representative of EAAIF’s management team, added:

“We are delighted to deepen our partnership with the African Development Bank. This loan will enable us to finance more renewable energy, digital, and transport projects that drive inclusive growth, create jobs, and build climate resilience in the region.”

Building Impact Through Blended Finance

The AfDB’s loan enhances EAAIF’s capacity to mobilise blended finance, a model that uses public or development finance to de-risk and leverage private capital. This approach is essential in regions where commercial financiers remain reluctant due to perceived political or economic risks.

EAAIF’s portfolio has already demonstrated a strong track record in improving access to clean energy, supporting greenfield digital infrastructure, and creating high-quality jobs. The fund also ensures its investments adhere to international environmental, social, and governance (ESG) standards, including climate risk mitigation.

Looking Ahead: Shared Commitment to Inclusive Growth

This operation is aligned with both the AfDB’s Ten-Year Strategy (2023–2032) and the African Union’s Agenda 2063, which seek to transform Africa through inclusive growth, integration, and sustainable development.

By aligning with the Sustainable Development Goals (SDGs), particularly SDG 9 (Industry, Innovation and Infrastructure) and SDG 13 (Climate Action), the partnership is poised to deliver transformative benefits across the continent.

The AfDB’s support for the EAAIF underscores its role as a catalyst for private sector participation in Africa’s development journey. As infrastructure needs continue to surge, such innovative financing collaborations are crucial to delivering climate-smart, inclusive, and resilient economic growth for the future.

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