British Investment Targets £9bn for Africa, Focuses on Frontier Markets

Stories by Emma Okonji

British International Investment (BII), the UK’s development finance institution and impact investor, has launched its new five-year strategy, with the aim to drive £9 billion of new capital into Africa to support economic growth. 

A central pillar of the strategy is a focus on accelerating the flow of private capital into African countries. Of the £9 billion, BII will contribute nearly £5 billion, with the balance expected to come from private institutions in Africa and globally.

BII also announced that it will enhance its commitment to frontier markets – those identified by the UN as Least Developed Countries – with at least 25 per cent of new investments by value going to these countries. Minister for Development at BII, Jenny Chapman, in a statement, said: “Over the past few months, I have been setting out the need for a new UK approach to development – one moving from traditional aid grants to long-term partnerships that bring investment, expertise and international finance reform together. It also means investing responsibly: bringing everything the UK can offer – from our work through international organisations and our investment tools, to research, practical advice and diplomacy.” 

MD and Head of Africa at BII, Chris Chijiutomi, said: “Africa has been at the heart of BII’s work since our inception. That long track record has given us deep experience of investing through economic cycles and a clear understanding of what businesses need to grow in some of the continent’s most challenging markets. 

“This strategy builds directly on that experience. By sharpening our focus on frontier markets, investing in high-impact sectors and mobilising domestic and international private capital, we are concentrating our efforts where our capital and expertise can make the greatest difference for African economies.”