The African Development Bank (AfDB) has approved a $100 million loan to the Emerging Africa and Asia Infrastructure Fund (EAAIF) to scale up renewable energy, transport and digital infrastructure projects in multiple African countries.
This approval places project financing at the heart of the Bank’s mission to address the continent’s infrastructure gaps and strengthen its long-term economic resilience.
The bank said the loan was part of a broader plan to mobilize private capital for large-scale developments. According to a statement released on Friday, the facility is in line with AfDB’s continued efforts to direct funding to areas essential to industrial growth, energy security and improving regional liquidity.
This capital allocation forms a key element of EAAIF’s debt financing program, through which EAAIF aims to secure $300 million in 2025 and deploy more than $850 million across Africa and Asia by 2027. Although the statement did not name specific beneficiary countries, the Bank noted that the project will focus on high-impact infrastructure in priority regions.
Mike Salaou, AfDB’s Director of Infrastructure and Urban Development, is a senior central bank official and emphasized the value of partnership. “Partnering with the Emerging Africa and Asia Infrastructure Fund will enable long-term financing for critical projects that will boost economies, create jobs and improve lives across Africa. It will also help close the infrastructure financing gap on the continent by attracting private capital to high-impact projects in emerging and frontier markets,” he said.
His position is echoed by Sumit Kanodia, a director at NinetyOne, the investment firm that manages EAAIF under the Private Infrastructure Development Group (PIDG). “This loan will enable us to finance more renewable energy, digital and transport projects that will foster inclusive growth in the region, create jobs and build resilience to climate change,” Kanodia said. He added that the new support strengthens the long-standing relationship between EAAIF and the AfDB.
The World Bank confirmed that this loan is the fourth loan to EAAIF and expands its collaborative efforts focused on mobilizing private investment in frontier markets. The AfDB said the partnership remains central to infrastructure expansion, industrial diversification and sustainable development efforts.
The AfDB has taken similar steps in recent months. In September, the Bank approved a $25 million equity investment in the Currency Exchange Fund (TCX) to improve access to local currency financing across African economies. Since 2007, TCX has hedged over $17 billion in notional amounts, including over $4 billion in 31 African countries.
In August, the AfDB also announced a $5.5 billion financing framework with support from the Japan International Cooperation Agency (JICA) to accelerate infrastructure development and encourage private sector financing across Africa.
