Responding to a clear demand
Current investments in energy infrastructure fail to meet the huge demand for power generation, transmission and distribution mainly because of the discrepancy between the long timelines of energy projects and the short timeframe in which political landscapes can change – combined with a perceived high probability of offtake uncertainty.
"Backed by AEGF" – de-risking that makes the difference
In January 2020, KfW, the German Development Bank, signed a European Fund for Sustainable Development (EFSD) guarantee agreement that makes KfW a co-guarantor of AEGF. As a result of KfW’s commitment, AEGF’s de-risking capacity for SEforALL-approved energy projects in Sub-Saharan Africa was increased to USD 1 billion.
The African Energy Guarantee Facility supports long-term enery projects in Sub-Saharan Africa. With ATI as the initial primary insurer, the Facility will benefit from an open architecture to potentially include other insurers in the future.