African Development Bank Mobilises Global Private Capital to Close Africa’s Financing Gap

Addis Ababa, December 24, 2025—The African Development Bank Group (AfDB), in partnership with the Government of the United Kingdom, has launched a major push to mobilise global private capital to help close Africa’s estimated 402 billion dollars annual development financing gap.

Building on the successful 17th replenishment of the African Development Fund (ADF-17)—which raised 11 billion dollars for Africa’s most vulnerable countries, the AfDB convened global investors in London for the inaugural Africa Private Capital Mobilisation Day at Lancaster House.

The high-level event brought together more than 150 senior leaders from private equity firms, sovereign wealth funds, pension funds, insurers, philanthropies, export credit agencies, and development finance institutions.

 It marked a shift from policy dialogue to practical execution in attracting private investment to Africa.

AfDB President Sidi Ould Tah described the initiative as a natural continuation of ADF-17 and a key step toward building a New African Financial Architecture.

He emphasised collaboration with institutional investors to unlock Africa’s capital potential and strengthen financial sovereignty.

Discussions focused on reframing risk perceptions about Africa, developing innovative financing platforms, and scaling investment in fragile and frontier markets.

 New data from the Global Emerging Markets Risk Database, presented by the Center for Global Development, showed that long-term lending to African borrowers has historically been less risky than widely assumed.

Key sectors highlighted included healthcare and aviation, seen as critical to Africa’s economic resilience and regional integration.

Two flagship initiatives were presented: Africa Medicines and Equipment Facility, developed with the Gates Foundation, to ensure affordable and timely access to essential medical supplies and Integrated Aviation Transformation Programme for Africa, supported by blended finance, aimed at modernising airports, airlines, and related services.

In parallel, Dr Ould Tah hosted a closed-door roundtable with senior executives from around 30 major institutional investors to explore the creation of an Africa-focused Private Sector Innovation Lab, designed to co-develop new financing tools, partnership models, and risk-sharing mechanisms tailored to African markets.