Africa Finance Corporation secures Euro 250 million in Loan from Italia’s Cassa Depositi e Prestiti
Business
Africa Finance Corporation, the continent’s leading infrastructure solutions provider, has secured a landmark EUR 250 million loan facility from Cassa Depositi e Prestiti for a 10-year term.
Cassa Depositi e Prestiti (CDP) is the Italian Financial Institution for Development Cooperation.
The transaction is backed by a guarantee from SACE, the Italian insurance and financial group fully owned by the Italian Ministry of Economy and Finance, covering up to 80 percent of the facility amount.
The financing builds on engagement at the Mattei Plan-Global Gateway summit, attended by Italian Prime Minister Giorgia Meloni, European Commission President Ursula Von der Leyen, CDP, SACE and AFC, where the parties confirmed their intent to collaborate.
The facility is structured to cultivate Italian supply chain opportunities in infrastructure and renewable energy generation, including the supply of components for the Lobito Railway Corridor.
Lobito is a commercial railway line that will run through Angola and extend to the borders of Zambia and the Democratic Republic of Congo, with plans for extension into Tanzania.
This long-term facility deepens Africa Finance Corporation’s strategic partnership with both CDP and SACE, while reinforcing its mandate to mobilise high-quality, long-tenor capital in support of delivering sustainable infrastructure across Africa.
“Cassa Depositi e Prestiti confirms its role as a strategic partner in supporting infrastructure projects with a high social and economic impact in Africa,” said Dario Scannapieco, Chief Executive Officer of CDP.
“With this financing, we are strengthening business and technological relations between Italy and Africa, enhancing talent and innovation, convinced that investing in strategic projects not only creates new opportunities for our companies but also helps to build lasting and shared ties capable of fostering growth and well-being for local communities.”
Alessandra Ricci, the Chief Executive Officer of SACE, said they were proud to contribute to the involvement of Italian companies in the transport and logistics sector to realise a significant strategic project like the Lobito Railway Corridor within the Mattei Plan.
“This collaboration reaffirms SACE’s commitment to promoting new connections for Italian companies seeking to diversify their exports and embrace new growth opportunities,” he said.
“Our partnership with CDP, further strengthened by SACE’s guarantee, exemplifies the power of blended finance in unlocking capital for infrastructure development in Africa,” said Banji Fehintola, Executive Board Member and Head, Financial Services, AFC.
“The Lobito Corridor is a transformational project that will open new trade routes for resources, support regional industrialisation, accelerate job creation and strengthen Africa’s position in global value chains, while delivering long-term, inclusive growth.”