Tuesday 15, May 2018 by Matthew AmlĂ´t

AFC reports financial results for 2017

Highlights include $109.2 million for the year in total comprehensive income, $100.3 million in net profit for the year and 21 per cent growth year-on-year in balance sheet total assets to $4.2 billion.

Key milestones for 2017

  • Three new member states in 2017 - Kenya, Zambia, Benin, with Malawi joining in 2018 - AFC now has 18 Member States.
  • Additional Equity investors- one Sovereign Investor (Ghana) in 2017, with African Reinsurance Corporation becoming the first multilateral institution investor in January 2018.
  • Inaugurated two ports built in record time by Gabon Special Economic Zone, an AFC investee company. The mineral and general-purpose port, at Owendo, will enable the diversification of the Gabonese economy.
  • Closed the Anergi transaction, a joint venture with Harith General Partners creating a power company with a 1,786MW gross energy generation capacity that will supply reliable energy to up to 30 million people in five countries.
  • Led an international consortium to invest $205 million in Bel-Air bauxite mining in Guinea-Conakry, one of the largest foreign investments in the country since the 2014 Ebola crisis.
  • Became the first African multilateral finance institution to issue a Sukuk bond - the highest rated by an African supranational entity.
  • Raised $500 million 7-year Eurobond that was five times oversubscribed.

Andrew Alli, President and CEO, AFC commented on the results, "2017 has seen a robust performance in the face of challenging conditions. Despite a year marked by fiscal challenges, fewer bankable projects, and a market-wide reduction in terms of investment, AFC delivered strong underlying results, as the above numbers show.

"Operationally, AFC also maintained its momentum, welcoming Kenya, Zambia and Benin as new member states, pioneering innovative funding instruments such as our oversubscribed Sukuk, and continuing to enable numerous successful infrastructure projects that will transform the economies we invest in.

"AFC marked its tenth anniversary in 2017, coinciding with my last year as President and CEO. I am proud to report that over the last decade, AFC has evolved from a start-up to a powerful force on the continent that is at the forefront of addressing Africa's infrastructure deficit. We have demonstrated that Africa Infrastructure is a viable asset class and that investors can contribute to long- term sustainable growth of the continent in a way that generates strong returns.

"It has been a great privilege to lead a team that is driven by this purpose. In its first decade, AFC has grown profit from $4.4 million to $100.3 million an approximate 20-fold increase, paid aggregate dividends of $304.4 million to its shareholders and elevated the Corporation to the second-best rated lending institution in Africa. With the balance sheet and track record in place to deliver the infrastructure financing that will help Africa to fulfil its potential, AFC is well placed for its next decade of growth, to the benefit for all its stakeholders."


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