NextBillion - An Initiative of the William Davidson Institute at the University of Michigan

The Fund for Export Development in Africa (“FEDA”), the impact investment arm of the African Export-Import Bank (“Afreximbank”), set up to support intra-African trade growth, value-add export development and industrialization, is pleased to announce its first close of US$670 million across its four fund strategies.

Of the $670 million raised, $270 million is earmarked for FEDA Direct Equity Fund I, which will provide equity and quasi-equity financing to businesses aligned with FEDA’s mandate.

US$250 million is allocated to the Strategic Initiatives Fund, a proprietary fund established by Afreximbank to implement landmark and high impact greenfield investments in sectors critical to the growth of intra-African trade and value-added export development across the African Continent.

The third strategy involves the implementation of a private credit fund, Africa Credit Opportunities Fund, L.P. (“ACOF”), jointly sponsored by FEDA and Gateway Partners Group with US$125 million committed. ACOF will invest in credit instruments to support trade enablement and growth in Africa.

FEDA’s fourth strategy involves a US$25 million Venture Fund to provide equity, quasi-equity and venture debt financing to high-impact early-stage ventures across Africa.

FEDA Investment Manager targets to raise a total of US$1.3 billion across the four fund strategies by 2024, with the support of like-minded Limited Partners.