AFC Capital Partners Launches $150M Climate Fund in Nigeria

AFC Capital Partners, the asset management subsidiary of the Africa Finance Corporation, launched its $150 million Infrastructure Climate-Resilient Fund in Nigeria following regulatory approval from the Securities and Exchange Commission on a Monday in Lagos. This SEC-registered closed-end vehicle aims to channel domestic institutional capital into critical green infrastructure across Nigeria as part of a larger $750 million pan-African climate initiative, targeting an overall project financing pool of $3.7 billion.

Chika Dotimi-Beke, Chief Financial Officer of AFC Capital Partners Nigeria Limited, stated that the immediate priority is capital raising and deployment, with expectations to make the first investment before the end of the year, focusing on the transport and renewable energy sectors. Gbadebo Adenrele, Managing Director/CEO of Investment Banking at United Capital Plc, noted that Nigeria's investment pool from pension funds is estimated at about N31 trillion to N32 trillion.

David Johnson, Chief Risk Officer of Africa Finance Corporation, highlighted the economic impact of climate change, revealing that Africa incurs $200 billion in annual losses due to climate disruptions.