The Fund for Export Development in Africa (FEDA), the equity investment arm of African Export-Import Bank (Afreximbank), has expanded its membership to 24 countries following the accession of Senegal and Liberia, as Angola and Zimbabwe ratified the fund’s Establishment Agreement.
The developments strengthen FEDA’s mandate to address Africa’s equity financing gap and broaden the markets in which it can pursue investments in sectors including logistics, agro-processing, energy, manufacturing, financial services and strategic mineral processing.
FEDA provides equity, quasi-equity and other forms of long-term capital to projects and businesses aimed at supporting economic diversification, regional integration and export development.
The expanded membership will give the fund a stronger platform to identify and support industrial and critical mineral processing opportunities across member states, while mobilising additional public and private capital for African businesses and strategic projects.
“These latest membership milestones demonstrate the growing confidence of African governments in the institutions they own and control and their commitment to building strong institutions capable of mobilising and deploying African capital for Africa’s development,” Dr. George Elombi, President and Chairman of the boards of Afreximbank and FEDA, said.
Elombi said FEDA’s equity and quasi-equity financing would become increasingly important as the Afreximbank Group pursues its industrialisation agenda, particularly in financing strategic projects at national and regional levels.
FEDA Chief Executive Officer Emmanuel Assiak said the membership expansion would increase the markets in which the fund could pursue investments and deepen its partnerships with governments and the private sector.
“Senegal, Liberia, Angola and Zimbabwe each offer compelling opportunities for investment across strategic sectors of their economies,” Assiak said. “We look forward to translating this expanded footprint into investments that strengthen local and regional value chains, support competitive African businesses and deliver sustainable economic impact.”
The membership expansion comes as FEDA significantly increases its investment capacity. Over the past five years, Afreximbank’s commitment to the fund has risen to $1.3 billion from $100 million, providing additional capital for investments across a wider range of African regions and industries.
The fund’s growing footprint reflects a broader push by African institutions to mobilise long-term domestic capital for industrial development, value addition and regional integration as the continent seeks to reduce its dependence on external financing.
