ATIDI targets $2 billion capital to scale up Africa infrastructure guarantees

The African Trade and Investment Development Insurance (ATIDI) is aiming to double its capital base to $2 billion within the next two years, according to its chief executive Manuel Moses. The move is part of a broader push by African leaders to unlock private financing for the continent's massive infrastructure needs.

Moses said the expansion depends on bringing in new shareholders, with talks already underway with France, other G7 nations, and around 30 African countries that have not yet joined the institution. "We have to convince these countries, these partners to speed up their processes," he said.

Established 25 years ago and headquartered in Nairobi, ATIDI provides insurance and guarantees to reduce investment risk in Africa, helping channel private capital into projects that might otherwise be considered too risky. The institution is currently owned by 24 African states and institutional investors, including Germany's KfW Development Bank, which joined in April.

The African Development Bank (AfDB), which is championing a new financing model for the continent, raised its stake in ATIDI to 14% earlier this year from 3%, injecting $125 million. The AfDB's president has said the increased firepower would enable ATIDI to raise its annual guarantee volumes to $10 billion.

Moses said doubling capital would allow the institution to go further, increasing annual guarantee volume to $20 billion. ATIDI has already backed projects including a modern railway in Tanzania and Kenyan telecoms operator Safaricom's expansion into Ethiopia. It has also helped African countries reduce expensive debt through swaps and sustainability-linked facilities.