Nairobi, Kenya//—IFC supported Africa’s clean energy, manufacturing, digital connectivity, small business, trade, agriculture, and other vital sectors in fiscal year 2024 with record financing and broad advisory support that is helping strengthen markets and create jobs, including in many of the continent’s fragile and most-in-need countries.
IFC supported private sector development in 45 countries in Africa between July 1, 2023, and June 30, 2024. Of the 45 countries, 30 were classified as low-income and/or fragile and conflict-affected situations (FCS), where the need for investment and market support is generally the greatest.
IFC’s investments in Africa totalled $14.2 billion last fiscal year, its largest-ever commitment to the continent and up 23 per cent from the previous fiscal year.
Of the total investment amount, IFC committed $8.5 billion in long- and short-term financing from its account and mobilised $5.7 billion from partner investors. IFC committed $3.9 billion in trade financing, $1.6 billion to help smaller businesses grow, $1.1 billion to boost digital connectivity, and $1.9 billion for climate change mitigation and adaptation, including in clean energy and green building projects.
About 41 per cent of IFC’s account financing was dedicated to addressing climate change, 50 per cent to supporting projects with a gender lens, and 21 per cent to low-income countries and FCS.
“Africa is again on a stronger growth trajectory after several challenging years, and IFC is increasing its support for the continent’s private sector, delivering solutions to clients ranging from small start-ups seeking seed funding to large companies looking to expand into new markets,” said Sérgio Pimenta, IFC’s Vice President for Africa. “The reach of our activities across the continent and our record investment last fiscal year reflects our commitment to mobilising private sector solutions for sustainable development, especially in Africa’s most challenging markets.”
IFC’s FY24 investments in Africa supported 130 projects across numerous sectors. Among the projects were a sustainability-linked loan to allow Cabo Verde to modernise and reduce emissions at its seven airports; a nearly $200 million investment to support food security, access to finance, and the sustainable agriculture and construction sectors in Morocco and other parts of Africa; a partnership with Côte d’Ivoire’s Ministry of Health on two public-private partnerships to enhance laboratory and imaging services in 14 public hospitals in the country; and a $3.4 million equity investment into ANKA, an online platform that connects women-led artisanal businesses to buyers across the world, strengthening Africa’s creative industries and its online retail sector.
IFC’s support for fragile and conflict-affected situations in Africa included a risk-sharing facility with Deutsche Bank of up to €215 million that is boosting trade in some of the continent’s most challenging markets and a $100 million financing package for renewable energy company Release by Scatec (Release) to help meet growing electricity demand in Chad, Cameroon, and other countries.
IFC’s focus on gender included an expanded partnership with Goldman Sachs’ 10,000 Women program that is helping to create more opportunities for women entrepreneurs in French-speaking Africa.
In addition to its investments in Africa, IFC provided Advisory and Upstream Services with a portfolio of more than $455 million aimed at strengthening countries’ investment climates, helping businesses narrow the gender gap, and improving their governance, environmental and social performance. Upstream is IFC’s proactive, early-stage market and project preparation work.
