AFC closes historic $1.5bn facility for infrastructure, expands global partnerships

The Africa Finance Corporation (AFC) has announced the successful closure of a landmark US$1.5 billion syndicated loan, its largest debt facility to date.

The three-year loan, which was initially launched at US$1.3 billion, attracted strong investor demand from a diverse group of new and existing lenders across the Middle East, Africa, Asia, and Europe, a statement from the corporation said on Monday. Proceeds will be used for general corporate purposes, strengthening AFC’s ability to finance infrastructure and industrial development across the continent.

New participants in the syndication included Bank of Communications, Burgan Bank, Export Development Bank of Egypt, and Hua Nan Bank, underscoring growing investor confidence in Africa’s infrastructure opportunities.

Banji Fehintola, Executive Board Member and Head of Financial Services at AFC, described the transaction as a milestone in the Corporation’s history.

“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,” he said. “It strengthens our role in bridging Africa’s infrastructure needs with global capital and accelerates our mission to drive rapid industrialisation and unlock the continent’s full economic potential.”

The facility was arranged by a consortium of leading global banks, including Abu Dhabi Commercial Bank PJSC, Commerzbank AG, and Standard Chartered Bank, which acted as Global Coordinators and Initial Mandated Lead Arrangers and Bookrunners. Other leading banks such as Bank of China (London Branch), First Abu Dhabi Bank PJSC, Société Générale, State Bank of India (DIFC Branch), and Sumitomo Mitsui Banking Corporation (London Branch) also participated as bookrunners.

According to AFC, the syndication benefitted from the Corporation’s strong credit profile, enabling it to secure more favourable pricing compared with last year’s US$1.16 billion syndicated loan facility.

This year alone, AFC has diversified its funding sources further, securing long-term financing from development finance institutions, bilateral lenders, and commercial banks. The Corporation also recently obtained an AED 937.5 million sustainability-linked term loan facility, deepening its partnerships with the UAE.

Founded in 2007, AFC is a pan-African multilateral finance institution focused on driving economic growth through investments in infrastructure, natural resources, and industrial development.