Africa Investment Forum 2025: European Investment Bank Reaffirms "Africa First" Strategy
The European Investment Bank (EIB) has reaffirmed its "Africa First" strategy and highlighted the need to transform financing tools to support the development of the continent at the Africa Investment Forum (AIF) Market Days 2025. The event, organized by the African Development Bank Group (AfDB) and its partners, brought together investors, financial institutions, and African project promoters from November 26 to 28 in Rabat.
High-Level Panel Discusses Investment and Climate Finance Mechanisms in Africa
A high-level panel on investment and climate finance mechanisms in Africa, held on November 27 in Rabat, provided a precise diagnosis of the challenges and potential of African markets in the areas of infrastructure, energy transitions, and private sector development. The discussions emphasized the importance of adapted financial engineering, structuring partnerships with African institutions, and accelerating strategic investments.
Africa at the Center of EIB's Geopolitical and Financial Strategy
Andrew McDowell, EIB's Director-General for International Affairs, highlighted Africa's central place in the institution's current strategy, recalling that the continent has become a priority market in a geopolitical context where competition for influence and economic partnerships is intensifying. This priority is reflected in the increase in sovereign lending, the development of new instruments dedicated to the private sector, and financial innovation through local currency loans, venture capital funds, and blended finance facilities. The EIB intends to rely more on African financial institutions to optimize capital deployment and improve project visibility.
"Africa First" Approach to Strengthen Institutional Capacities and Project Bankability
Brahim Benjelloun Touimi, Managing Director of Bank of Africa, presented the foundations of the "Africa First" approach, designed to strengthen institutional capacities and project bankability. This strategy is based on local anchoring of projects before international syndication, releasing African banks' balance sheets through risk-sharing mechanisms, and institutionalizing blended finance to accelerate impact projects. Two flagship initiatives were highlighted: a €20 million fund dedicated to women entrepreneurs and a €15 million green bond, the first step in a broader strategy on sustainable markets.
Strengthening Partnerships and Project Bankability
During this major event, the EIB also reaffirmed its commitment to major partners such as the African Development Bank and the Africa Finance Corporation. The collaborations aim to finance critical infrastructure, strengthen climate resilience, and provide technical assistance to structure complex projects. This approach combines the EIB's balance sheet power with the local and sectoral expertise of African institutions.
Addressing the Challenge of African Bond Markets
The panel also highlighted another key challenge: African bond markets suffer from a higher risk perception than reality, according to the EIB's Global Emerging Market Database. This divergence results in high financing costs for states, limited bond market depth, and difficulties in accessing international capital. Participants emphasized the need for better regulatory harmonization, the creation of electronic trading platforms, longer bond maturities, and diversification of financial instruments, including green bonds, sustainability bonds, and SDG bonds.
Conclusion: Africa Needs More Visible and Bankable Projects
At the end of these discussions, all participants agreed that Africa is not lacking in projects, but they must be sufficiently visible and bankable to attract international investors. It is also essential to strengthen pre-feasibility studies and impact assessments, structure projects according to international standards, develop local promoters' skills, and increase risk-sharing mechanisms.
Climate and Finance: A Collective Awakening for Africa
The climate issue was also at the center of the debate. Despite having 40% of the world's solar potential and significant wind resources, Africa receives only 2-3% of global climate finance. In this context, the EIB called for a collective awakening to massively deploy concessional financing, mobilize the private sector in renewable energies, and accelerate the decarbonization of African energy systems.
Concrete Priorities Identified
Participants identified concrete priorities: intensifying partnerships on critical infrastructure, extending local currency loans, amplifying the African Women In Business initiative, optimizing the performance of the Boost Africa Technical Assistance Facility, strengthening dialogue with rating agencies, and publishing more data on private credit, while developing project promoters' technical capacities and accelerating green investments.
Consensus: Africa is at a Turning Point
The consensus is clear: Africa is at a turning point where financial engineering, a strengthened regulatory framework, and climate innovation can transform national economic trajectories. The opportunities are numerous: the EIB, AfDB, AFC, and African banks have the levers to catalyze a new generation of greener, more inclusive, and structuring projects. The condition remains a strengthened coordination and collective effort to reduce risk perceptions that still hinder access to international markets.
Market Days 2025: A Strategic Platform for African Projects
The Market Days 2025, which continue until November 28, constitute a strategic platform for bringing together investors and African projects, promoting the realization of transformative investments in infrastructure, energy, agribusiness, digitalization, and industry. This edition of the Africa Investment Forum, held in Rabat, is themed "Reducing Gaps: Mobilizing Private Capital to Unlock Africa's Full Potential".
