The Africa Finance Corporation (AFC) yesterday announced that the African Development Bank Group (AfDB) has invested $50 million in the equity of the corporation.
AfDB’s investment in the AFC would 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.
A statement from the corporation which disclosed this, stated that the addition of the AfDB as a shareholder and Development Finance Institution member of the corporation complements its strategy of addressing Africa’s infrastructure deficit with the AfDB’s stated mission to help reduce poverty, improve living conditions for Africans and mobilise resources for the continent’s economic and social development.
“The equity investment in AFC further broadens AFC’s shareholder base, and follows recent equity investments in AFC from African Re-Insurance Corporation and the Republic of Ghana.
“As part of the equity investment, AfDB will have representation on the AFC Board of Directors,” the statement added.
The President & CEO of AFC, Samaila Zubairu, commented on the completion of the equity investment by AfDB, saying: “AFC welcomes AfDB 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 AfDB’s objective to integrate, energise and industrialise Africa.”
Also, the President, AfBD, Dr. Akinwumi Adesina said: “AfDB shares AFC’s vision of developing Africa-led responses to the continent’s socio-economic development.
“To date, we have already worked jointly to deliver transformational projects with tangible impact over the years.
“In becoming a shareholder, 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.”