The main purpose of Africa Investment Platform is to support sustainable growth in Africa, it aims at fostering investments which will have a positive impact on the socio-economic development such as infrastructures in transport, communication, water, energy as well as agriculture and private sector development, in particular SME's.
In September 2017 the Africa Investment Facility became an integral part of the European Fund for Sustainable Development (EFSD) as the Africa Investment Platform (AIP). The EFSD is the first pillar of the EU’s External Investment Plan.
The AIP was created in August 2015 and started operating in November 2015. It is an innovative financial mechanism that combines grants (non-refundable financial contributions from the European Union) with other resources such as loans from Development Finance Institutions in order to leverage additional financing for development and increase the impact of EU aid.
Similarly to the other EU blending facilities, the AIP acts as a catalyst to pool resources and improve the coordination and coherence of donor actions, thus conforming to the principles of ownership, partnership and shared responsibilities set out in the Paris Declaration on Aid Effectiveness and the subsequent Accra Agenda for Action and Busan Partnership Agreement .
The Platform can support national as well as regional projects in all African countries eligible to receive financing under the EDF regional and national programmes as well as under the intra-ACP programme and the DCI Pan-African Programme.
Resources can be made available from the different EU financing instruments (EDF and DCI), in coherence with the priorities established in the EDF Regional Indicative Programme, relevant EDF national indicative programmes, the intra-ACP programmes as well as the Pan-African Indicative programme. AIP interventions should focus on the following sectors: energy, agriculture, transport, environment, water and sanitation, climate change, SMEs, information and communication technologies (ICT) and social services, support to private sector development, in particular Small and Medium Enterprises (SMEs).
AIP support is provided through:
Risk capital and other risk sharing instruments.
The final beneficiaries of the AIP will be the partner countries, either directly or indirectly through their central, regional and local administrations or public or semi-public institutions. Other final beneficiaries can be the private sector and in particular households and SMEs for categories of operations dedicated to the private sector development.
The AIP sets up partnerships, pooling grant resources from the EU and using them to leverage loans from multilateral and bilateral European Finance Institutions as well as from regional and multilateral Development Banks. These resources can often be pooled together with contributions from partner countries and beneficiary institutions in Africa.
More information can be found in the Facility's 2016 Operational Report.
For further information you can contact DEVCO AfIF