Taarifa Business Desk has reliably learned that the Africa Finance Corp. has raised U$2 billion via a syndicated loan.
According to details, much of the loan was raised by Asian and European banks seeking to capitalize on growing demand for infrastructure projects across Africa.
A statement issued by AFC mentions that each region accounted for about 35% of the creditors.
AFC Chief Executive Officer Samaila Zubairu said that the lender has a pipeline of projects and is also in discussions to invest in a proposed oil refinery to be built by billionaire Aliko Dangote in East Africa.
The loan according to Zubairu will also finance Africa’s largest copper smelter in the Democratic Republic of Congo.
Zubairu told journalists that the money would enable “more master planning around infrastructure and industrial planning for economies”, regions and economic corridors across the continent.
Zubairu said the AFC is also working to reform capital rules and create structures that will allow more African money to stay on the continent and be invested in crucial infrastructure projects.
AFC, founded in 2007, has assets surpassing $19 billion and counts 48 African countries as members.
In January, the infrastructure-focused multilateral lender secured an A rating from S&P. It has an A3 rating from Moody’s, an AAAspc rating from S&P Ratings (China) and an A+ rating from the Japan Credit Rating Agency.
