InfraCredit, an AAA-rated specialised infrastructure credit guarantee institution, obtained a $15 million subordinated unsecured 10-year loan from the African Development Bank Group (AfDB). This is the second strategic investment by the AfDB, following an initial $10 million facility in 2020.
The Director-General of the African Development Bank Group, Mr. Lamin Barrow, expressed his satisfaction with the investment during the signing ceremony.
“Our support to institutions such as InfraCredit clearly demonstrates the importance of promoting innovative and scalable solutions to leverage pools of capital from domestic institutional investors and position local capital markets as viable alternative sources of long-term funding to bridge the continent’s huge infrastructure deficit,” he said.
InfraCredit’s CEO, Chinua Azubike, also expressed gratitude for AfDB’s ongoing confidence in their business plan.
“We are delighted by AfDB’s confidence in our business model, which has successfully facilitated private sector investment in impactful infrastructure projects, and InfraCredit’s clean energy roadmap that has accelerated green finance for climate-aligned infrastructure, fostering SME growth, job creation, sustainable energy access, and overall economic development,” Azubike said.
He added, “Despite challenging market conditions, we have consistently demonstrated strong fundamentals, solid portfolio performance, a proven track record, and profitability. Further expanding our capital base by this facility will bolster our ability to support access to long-term local currency domestic credit for our rapidly growing pipeline of infrastructure projects currently worth over N839 billion ($579 million), fostering job creation and economic growth.”
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