AfDB, AFD sign five-year deal to expand infrastructure financing across 14 African countries

The African Development Bank Group (AfDB) and Agence Française de Développement (AFD) have signed a new memorandum of understanding (MoU) for 2026–2031, building on a partnership that has supported 17 jointly financed projects across 14 African countries since 2021.

According to a statement published on the AfDB website, the agreement was signed on November 10 on the sidelines of the Paris Peace Forum.

It seeks to strengthen cooperation from the early stages of project development through financing and implementation, with both institutions aiming to expand the pipeline of investment-ready projects across the continent.

AfDB and AFD expand cooperation

Under the agreement, the institutions will jointly assess prospective projects and combine financing with project preparation, technical advice, policy dialogue and capacity building. They will also deepen collaboration on project management, monitoring and knowledge transfer.

The partnership will focus on several priority areas:

• Energy transition infrastructure, transport, water and sanitation, and regional connectivity.
• Agriculture, industry, private sector development and entrepreneurship.
• Access to finance and job creation, particularly for women and young people.
• Critical minerals, pharmaceuticals and digital infrastructure.
• Data governance and the responsible use of artificial intelligence.
• Climate resilience, biodiversity, health, education and governance.

AfDB President Dr Sidi Ould Tah said the partnership would help direct capital towards infrastructure, stronger African value chains and employment opportunities for young people.

• “The Paris Peace Forum is a fitting setting to renew our cooperation with AFD. Peace and development are built together, and delivering on Africa’s priorities requires close collaboration,” he said.

AFD Group Chief Executive Officer Christophe Lecourtier described the agreement as a new step in the institutions’ relationship, noting that the partnership would support strategic infrastructure, particularly in energy and transport, as well as industrial development and long-term economic growth.

Financing tools and projects across Africa

The agreement also provides for greater cooperation on blended finance, guarantees, catalytic finance and carbon finance to attract additional public and private investment. The institutions will explore access to European financial instruments and co-financing platforms involving European institutions and African partners.

The partnership builds on a relationship first formalised in 2008 and renewed in 2021. France joined the African Development Fund, the Bank Group’s concessional financing window, in 1977 and the African Development Bank in 1983.

Energy has accounted for nearly half of the institutions’ joint financing since 2021. AFD has also committed €1 billion to Mission 300, an initiative of the AfDB and the World Bank aimed at connecting an additional 300 million people in sub-Saharan Africa to electricity by 2030.

Their ongoing projects include:

• Qair solar projects in Chad, with a combined capacity of 30 MWp, and the 88 MW Kakono hydropower project in Tanzania.
• Complementary financing for the Abidjan-Lagos, Abidjan-Ouagadougou and Lobito corridors to strengthen trade and regional integration.

The jointly financed Investment in Digital and Creative Enterprises programme in Nigeria, alongside the Single Window for SME Development and the Diversification, Accelerated Industrialisation, Competitiveness and Employment programme in Côte d’Ivoire.

Support for South African biopharmaceutical company Biovac as it expands local vaccine production and pharmaceutical manufacturing capacity.

AfDB’s recent financing in Nigeria

The new agreement builds on AfDB’s existing financing activities in Nigeria, including support for businesses, women-owned enterprises and economic reforms.

Recent commitments include:

• In May 2026, the bank approved a $200 million financing facility for the Bank of Industry to expand access to long-term funding for businesses operating in key sectors of the Nigerian economy.
• AfDB also approved a $61 million financing package for the Development Bank of Nigeria to increase access to affordable credit for women-owned and women-led micro, small and medium-sized enterprises.
• In November 2025, AfDB approved a $500 million loan for the Federal Government to finance the second phase of the Economic Governance and Energy Transition Support Programme.