Africa Finance Corporation Secures Record $1.5 Billion Loan to Boost Infrastructure Investment

Africa Finance Corporation (AFC) has raised its largest debt facility to date, a $1.5 billion syndicated loan that drew strong participation from lenders across the Middle East, Africa, Asia, and Europe.

The three-year facility, initially launched at $1.3 billion, was oversubscribed, underscoring investor confidence in Africa’s infrastructure market. New lenders included Bank of Communications, Burgan Bank, Export Development Bank of Egypt, and Hua Nan Bank.

Proceeds will be used for general corporate purposes, bolstering AFC’s ability to finance infrastructure projects across transport, energy, natural resources, and industrial sectors. The deal, which priced more competitively than last year’s $1.16 billion syndicated term loan, further strengthens the Corporation’s balance sheet and expands its global financing network.

“This landmark transaction reinforces AFC’s standing as a trusted institution in the global capital markets and demonstrates our ability to mobilise capital at scale for Africa,” said Banji Fehintola, Executive Board Member and Head of Financial Services.

The loan was arranged by a consortium of top-tier banks including Abu Dhabi Commercial Bank, Commerzbank, and Standard Chartered as global coordinators. Additional lead arrangers ranged from First Abu Dhabi Bank and MUFG to Standard Bank of South Africa, Société Générale, and Sumitomo Mitsui Banking Corporation.

The facility follows AFC’s recent AED 937.5 million ($255 million) sustainability-linked loan from the UAE, as the Corporation continues diversifying its funding base with support from development finance institutions, bilateral lenders, and commercial banks.

Founded in 2007, AFC has invested more than $12 billion across 35 African countries. The latest loan, executives say, will accelerate efforts to close Africa’s $130 billion annual infrastructure financing gap and support industrialisation on the continent.