AFC Unveils $4 Trillion Investment Opportunity to Power Africa’s Infrastructure Revolution

New report highlights underused domestic capital, calls for reforms to unlock energy, rail, and industrial potential across the continent

The Africa Finance Corporation (AFC) has revealed that Africa holds over $4 trillion in investable capital, yet much of it remains tied up in low-risk, short-term instruments rather than being channelled into long-term infrastructure development.

In its newly released State of Africa’s Infrastructure (SAI) Report 2025, AFC outlines a bold roadmap for unlocking the continent’s economic potential through targeted reforms, financial innovation, and large-scale investment in critical sectors such as energy, transport, and industry.

The report estimates that more than $1.1 trillion lies in long-term institutional capital from pensions, insurance, sovereign wealth funds, and public development banks, in addition to $2.5 trillion in commercial banking assets and over $470 billion in central bank reserves.

Despite these vast resources, Africa added only 6.5 GW of grid-connected energy in 2024—far below other regions like India, which added 18 GW from renewables alone. The report urges a shift in focus from small-scale electrification to large, interconnected power systems, and emphasizes the importance of regional grid integration. Key interconnector markets identified include Angola, DRC, Tanzania, and Mauritania.

In contrast to energy, the continent is witnessing renewed momentum in rail development. Over 7,000 km of railway lines are currently under construction or in planning stages, signaling a potential doubling of rail expansion. To support this trend, AFC launched the Digital Map of African Railways, an interactive platform designed to attract investors and improve corridor coordination.

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The report also calls attention to Africa’s heavy reliance on imported industrial inputs, particularly steel, fertilizer, and refined oil—imports that cost the continent around $300 billion annually. With strategic investment in value chains and logistics, AFC sees potential to build competitive regional industries.

“This report provides a practical roadmap for how Africa can channel its significant financial strength into the infrastructure needed to drive industrial transformation,” said Samaila Zubairu, AFC President & CEO. “The tools exist. The capital is available. What’s needed now is coordinated action to unlock it.”

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