Africa50, a platform of African Development Bank (AfDB) has raised 830 million dollars (about N163.47 billion) to support accelerated infrastructure development in Africa.
This is contained in a statement by the bank released in Lagos on Friday.
The statement said that the disclosure of the mobilisation of the fund was made Constitutive General Assembly of
Africa50 held on Wednesday in Casablanca, Morocco.
It said that 20 African countries and the African Development Bank (AfDB) subscribed to the fund and listed them as
Nigeria, Benin, Cameroon, Congo, Djibouti, Egypt, Gabon, Ghana and Ivory Coast.
Others are Madagascar, Malawi, Mali, Mauritania, Morocco, Niger, Senegal, Sierra Leone, Sudan, Gambia and Togo.
The statement disclosed that first tranche of the subscription was available to only African countries, while the second and subsequent tranches of subscription for equities would be thrown open to other countries.
It also said that investment opportunities would be extended to non-sovereign investors in Africa and outside Africa.
It said that the second investment tranche was expected before the end of 2015.
Dr Donald Kaberuka, outgoing President of AfDB, said that the large response of African countries and their financial commitments were testimonies to shared vision on new ways toward bridging the continent’s infrastructure deficit.
“Africa50 will be a step change for infrastructure financing and development in Africa,” Kaberuka, who is also Chairman of Africa50 Board of Directors, said.
He said that the significance of Africa50 was to mobilize long-term savings within and outside Africa for the financing of commercially viable infrastructure projects across Africa.
He said that through an integrated approach, Africa50 would invest in African infrastructure projects, while leveraging on its innovative Project Finance and Project Development windows.
The AFDB president remarked that the commitment showed by African countries was a necessary step towards attracting institutional investors, including sovereign wealth funds, pension funds, insurance companies and other sources of international long-term finance.
“Africa50’s medium term capitalization is projected to hit three billion dollars,” he disclosed. (NAN)