InfraCo Africa seeks to alleviate poverty by mobilising private sector expertise and finance to develop infrastructure projects in sub-Saharan Africa’s poorer countries
A challenge and an opportunity
Infrastructure provides the power, communications and transport that businesses need to produce goods and connect to markets. In turn, businesses provide income and economic opportunities for people and generate the revenues needed for governments to invest in public infrastructure services. Infrastructure is a key driver of economic growth.
Developing infrastructure is capital intensive. Africa’s annual infrastructure funding need has been estimated at US$93bn. This cost can’t be met entirely by the public sector yet infrastructure projects struggle to mobilise private sector investors. This is particularly true during the earliest stages of project development when expertise, regulatory frameworks and commercial viability may be unproven and so risks are higher.
We can help
InfraCo Africa can mobilise private sector participation and investment. We provide funding and expertise to projects at their earliest stage, enabling them to grow from an initial concept to a bankable investment opportunity.
We partner with host governments and the private sector, working with both to address market gaps and to help develop the regulatory frameworks needed to enable private sector participation in infrastructure.
“Our involvement reduces the risks and costs associated with early-stage project development and facilitates private sector investment into infrastructure.”
Alex Katon, Executive Director, InfraCo Africa
The initial stages of project development require relatively little finance but higher risks can deter private sector investors.
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InfraCo Africa was established by the Private Infrastructure Development Group (PIDG), an organisation funded by governments and multi-lateral agencies. The PIDG mobilises private sector investment into infrastructure within developing countries to boost economic growth and combat poverty. It does this by providing specialised financing or project development expertise to address market gaps and barriers.
To date, the PIDG has received US$1.14 billion from members and delivered 115 projects and 95 grants across 52 countries. Collectively, this has incentivised the private sector to commit US$19 billion in new investment.
InfraCo Africa receives funding via its shareholder, the PIDG Trust, from the governments of the UK (DFID), the Netherlands (DGIS), Switzerland (SECO) and Austria (ADA). As of December 2014, we have received US$126 million in funding. We operate as a private limited company registered in England and Wales.
We have teams of experienced professionals who have the skills needed to develop projects into high quality, sustainable investment opportunities.
Our Management Team
Our management team governs InfraCo Africa, setting strategy and managing financial, legal, IT, HR and marketing activities. This team also manages assets, where we remain involved in a project beyond Financial Close, and is accountable for improving and evaluating the developmental impact of our work.
Our Co-Development Team
Our co-development team has the capability to partner with external developers on specific infrastructure projects. They have a deep expertise in the technologies we develop, project contracting and project financing. Our co-development team is always looking for new projects that fit our mandate or new developers that we can partner with on a one-off or portfolio basis.
Our developers originate and develop projects on behalf of InfraCo Africa. They are companies with a track record of successfully developing and exiting private sector infrastructure projects in sub-Saharan Africa. Through our developers we are able to deploy deep project development skills, on-the-ground and as needed, to lead a project from concept through to Financial Close.
Although InfraCo Africa is publicly funded, we operate as a private company and are managed by a Board of industry leaders. Our Board members also sit on our Project Review Committee and use their experience to select projects and guide their development.
Join Our Team
We employ experienced people so that we can develop successful projects. If you think you have the skills or experience that we need then please let us know.
Apply for funding
InfraCo Africa funds pre-financial close infrastructure development in sub-Saharan Africa.