AfDB Invests $125 Million in ATIDI, Taking 14% Stake to Unlock African Development Capital
Updated
Updated · msmeafricaonline.com · Jun 1
AfDB Invests $125 Million in ATIDI, Taking 14% Stake to Unlock African Development Capital
2 articles · Updated · msmeafricaonline.com · Jun 1
$125 million from the African Development Bank will lift its ATIDI stake from 3% to 14%, making AfDB the trade insurer’s largest shareholder.
AfDB said the investment is meant to expand guarantees and risk-sharing tools that can draw more private money into African infrastructure, energy and transport projects as external development aid declines.
The bank estimates Africa holds about $4 trillion in institutional capital, yet the continent still faces an annual development financing gap of roughly $400 billion.
ATIDI, based in Nairobi and backed by 24 African countries, currently supports about $3 billion of investments a year; AfDB wants its guarantee capacity raised to $10 billion annually.
The move fits a broader push to rely less on foreign aid and more on African capital, as AfDB has also warned the continent’s trade finance gap could widen to $86.6 billion by 2027.
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