One step further to accelerate the energy transition in Africa
AfricaGoGreen Fund receives over USD 30 million investments from NDF, the African Development Bank, and the Sustainable Energy Fund for Africa.
NDF’s Board of Directors has approved a USD 11.5 million equity contribution to the AfricaGoGreen Fund (AGGF), a debt fund established to promote private investments in energy-efficient technologies and business models. The Fund aims to decarbonize African economies and accelerate the energy transition.
Following NDF’s investments to the AGGF, The African Development Bank and the Sustainable Energy Fund for Africa (SEFA) have approved a combined-equity investment of USD 20 million. NDF is also a donor to SEFA, thus reinforcing the close partnership to advance the transition to cleaner and greener solutions for the continent while encouraging the participation of the private sector.
The AGGF provides flexible and tailored debt instruments to private businesses in green appliances for domestic and industrial processes, green buildings, e-mobility solutions and battery energy storage projects.
“Achieving the climate goals and universal access to clean and affordable energy will require vast investment in energy efficiency and, more broadly, in electrification and other sector coupling trends. By targeting these emerging sectors in Africa, AGGF complements our climate and energy access portfolio, and is aligned with our strategic role as an early-stage catalytic investor”, says Henrik Franklin, Director for Portfolio Origination and Management at NDF.
Read more: Press Release published by African Development Bank