Smart energy debt fund, AfricaGoGreen Fund, has secured over $30 million in financing from the African Development Bank (AfDB), the Sustainable Energy Fund for Africa (SEFA) and the Nordic Development Fund (NDF) to support the rollout of energy-efficient appliances, e-mobility solutions, green energy and battery energy storage systems by private businesses under efforts to speed up the energy transition across Africa.
The funding comprises a $20 million investment which the AfDB and its special fund, SEFA, have approved to direct towards AfricaGoGreen and a $11.5 million finance package which the NDF injected in AfricaGoGreen in December 2021.
Commenting on the development and how it will impact the operations of AfricaGoGreen Fund, Jan Martin Witte, Director Global Equity and Funds for KfW Development Bank, said, “We are really happy to see the Bank, SEFA and NDF as new investors in AfricaGoGreen Fund. These new investments are also expected to trigger additional investments by commercial investors and financiers either directly or through co-funding of projects.”
Investment platforms such as AfricaGoGreen Fund will play an important role in helping Africa to raise and attract investments needed to accelerate the energy transition and to mitigate climate change through mechanisms such as sector coupling, whilst addressing energy poverty amongst the over 600 million people that are living without access to reliable and affordable electricity.