AFC Capital Partners has launched the Infrastructure Climate-Resilient Fund Nigeria, creating a dedicated platform intended to bring Nigerian pension funds, insurers, asset managers and other institutional investors into climate-resilient infrastructure investment.
The vehicle, announced on 24 August by Africa Finance Corporation, is registered with Nigeria’s Securities and Exchange Commission as a closed-end investment fund.
Mobilising Africa’s own long-term capital
The initiative addresses a longstanding infrastructure-finance challenge: African pension and insurance assets represent large pools of long-term capital, but only a limited share is invested directly in infrastructure.
ICRF Nigeria is designed to create an investment route for domestic institutions while financing infrastructure capable of withstanding climate risks. AFC said the vehicle will target projects in Nigeria and the wider African continent.
The Nigerian platform sits within AFC Capital Partners’ broader Infrastructure Climate-Resilient Fund strategy. The pan-African fund is targeting US$750 million and has secured a US$253 million first-loss commitment from the Green Climate Fund. AFC says the wider structure is intended to help mobilise as much as US$3.7 billion for 10 to 12 infrastructure projects.
Domestic capital and infrastructure
The significance of the Nigerian vehicle is therefore not simply the creation of another climate fund. Its model seeks to connect domestic savings with infrastructure assets, potentially reducing reliance on foreign capital while giving institutional investors access to long-duration projects.
AFC has invested across energy, transport, natural resources and industrial infrastructure. The Corporation says it has disbursed US$19 billion to projects across 36 African countries. More information on the new vehicle is available in AFC’s announcement.
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