OFFICIALS announced on Wednesday that funds managed by the African Export-Import Bank (Afrexim) are poised to invest over $450 million in financial services, creative industries, oil refineries, and healthcare sectors. Marlene Ngoyi, CEO of the Fund for Export Development in Africa (FEDA), disclosed that FEDA has raised $770 million for four funds, with nearly $300 million already deployed in investments.
‘FEDA, unveiled by multilateral trade finance bank Afrexim in 2016, targets raising $1.3bn in total,’ Ngoyi stated during an interview at the inauguration of FEDA’s Kigali office. The fund makes equity, debt, and credit investments, along with ‘greenfield’ investments in new businesses.
‘Across all of our fund strategies, we’re probably going to be making 10 to 15 investments this year,’ Ngoyi added, emphasising the fund’s diverse investment approach. She highlighted the private credit fund managed by FEDA, expecting an increase in transactions compared to the previous year.
Afrexim’s President Benedict Oramah confirmed the significant investment momentum, saying, ‘We have already invested about $300 million.’ Oramah underscored FEDA’s strategic focus, noting that investments would exclude minerals and metals but include sectors like manufacturing and logistics.
FEDA’s previous investments include $85 million in industrial zone developer ARISE IIP in 2022, a minority stake in pan-African technology firm Liquid Intelligent Technologies in 2021, and undisclosed funding for the Cabinda Oil Refinery in Angola last year.
‘You are not going to see FEDA investing in minerals and metals. We have to go beyond that. But you will see FEDA investing in refineries as it has done with Cabinda refinery in Angola,’ Oramah reiterated, emphasising FEDA’s commitment to diversified investments aligned with Africa’s economic growth objectives.
As FEDA continues to expand its investment portfolio across Africa, its strategic approach aims to support sustainable development initiatives and foster economic resilience in the region.