This article was produced with the support of Africa Finance Corporation
The inaugural Africa We Build Summit, organised jointly by the Africa Finance Corporation and the Government of Kenya, made global headlines when Aliko Dangote took to the stage to confirm plans to replicate his landmark refinery project in East Africa – more specifically in northern Tanzania. More than a headline moment, it was a powerful signal of what is possible when African capital, political leadership, and industrial ambition align, putting the continent’s vast resources to work for its own people.
That moment set the tone for the Summit, held under the theme “Infrastructure as the Engine of Industrialisation.” The Summit convened decision-makers to originate and advance bankable projects, strengthen regional integration, and accelerate Africa’s industrial development.
Dr William Samoei Ruto, President of the Republic of Kenya, delivered the keynote address, underlining the highest-level commitment to advancing regional integration and large-scale industrial development.
Underpinning discussions was the State of Africa’s Infrastructure Report 2026 – regarded asthe most comprehensive analysis to date of Africa’s cross-continental investment landscape. It interrogates investment gaps, capital flows, and priority project pipelines to directly inform capital deployment and project execution.
A major focus of the Summit was on mobilising a bigger portion of Africa’s substantial domestic capital base towards bankable and globally competitive infrastructure and industrial opportunities.
Samaila Zubairu, President and CEO of AFC, underlined this when he said: “Africa is not capital-poor; it is capital-trapped. The opportunity now is to channel that capital into infrastructure and industry at scale – transforming resources into productivity, jobs, and long-term prosperity.”
With an estimated $4trn in domestic capital available across the continent, the central challenge is no longer the scarcity of funding, but how to unlock it through regulatory reform, stronger institutions and a pipeline of bankable projects.
Recent discussions among policymakers, investors and industry leaders point to a gradual but meaningful shift. Pension funds, sovereign wealth funds and development finance institutions (DFIs) are increasingly collaborating, while reforms in countries such as Kenya, Côte d’Ivoire, Nigeria, South Africa and Cameroon are enabling capital to flow more freely into infrastructure, energy and other productive sectors.
Batandwa Damoyi, CFO of South Africa’s Public Investment Corporation (PIC), said the organisation is repositioning itself as a catalytic investor capable of anchoring large-scale projects. By taking an early stake in infrastructure and energy deals, the PIC aims to crowd in additional investors and build scalable investment platforms. Policy clarity in its home market has been central to this evolution, allowing the fund to take on a more proactive role across the continent.
This outward-looking approach is increasingly shared by other institutional investors. Regis Rugemanshuro, CEO of the Rwanda Social Security Board, pointed to allocations into pan-African platforms such as Africa50 and private equity firms including Helios Investment Partners as evidence of a broader strategic vision. For Rwanda’s pension fund, the focus is no longer confined to domestic opportunities but extends to continental growth.
New sovereign vehicles are also being designed with this objective in mind. Binta Barry, fund formation lead at the Guinea Sovereign Wealth Fund, explained that the fund is being structured to channel mining revenues into diversified, productive investments.
Without explicit liabilities, the vehicle has greater flexibility but retains a clear fiduciary duty. Independence and transparency are central to its design, both to attract co-investors and to mitigate macroeconomic risks associated with commodity dependence and volatile capital inflows.
Well-prepared projects
While institutional reforms are unlocking capital, investors emphasise that the availability of well-prepared projects remains a critical constraint.
Joshua Oigara, Regional CEO for East Africa at Stanbic Bank, argued that Africa risks losing capital to other regions if it cannot present bankable opportunities. In his view, project preparation is often more decisive than macroeconomic conditions. Strongly structured projects can withstand volatility, whereas weakly prepared ones struggle even in favourable environments.
Oigara highlighted the role of government in creating enabling conditions, particularly through consistent and transparent policy frameworks. South Africa’s renewable energy sector offers a case in point, having attracted more than $16bn in private investment largely due to regulatory clarity. Such an example demonstrates how predictable policy environment can unlock significant capital flows.
For pension funds, a shift in mindset is also required. Patrick Ayota, managing director of Uganda’s National Social Security Fund, argued that investors must reconsider how they define risk. This includes not only the potential downsides of investing but also the opportunity cost of remaining on the sidelines.
To address this, the NSF has partnered with eight regional pension funds to establish a new East Africa Infrastructure Fund, with each committing 5% of assets under management. The initiative is expected to raise around $2bn, signalling a growing willingness among African institutions to pool resources and take the lead in financing development.
Collaboration is emerging as a recurring theme. Chinua Azubike, CEO of Infracredit, noted that domestic pension and insurance funds can drive new investment models by sharing expertise and aligning strategies. He argued that the issue is not a lack of capital but the need to make it more agile and responsive to local conditions. Currency mismatches remain a concern, particularly when projects generate revenues in local currencies but rely on foreign-denominated financing, reducing overall efficiency.
Risk mitigation tools such as guarantees can play a transitional role, helping to build confidence and attract investors, although they are not a complete solution. Infracredit’s experience in supporting local currency financing demonstrates the potential for reducing risk while strengthening domestic capital markets.
Resilient investor appetite
Despite global economic uncertainty, investor appetite for African infrastructure remains resilient. David Koross, CEO of Kenya’s National Social Security Fund (NSSF), observed that both local and international investors continue to expand their exposure to the continent.
He acknowledged that pension funds have historically underperformed, with savings levels below potential, but said reforms to reverse this trend are under way.
The NSSF is implementing a new strategy aimed at achieving consistent double-digit returns while delivering measurable impact. Its investment in the Africa Finance Corporation illustrates this approach, combining financial performance with development outcomes. Strong returns have already translated into improved payouts for members, reinforcing the case for a more diversified and proactive investment strategy.
Amadou Hott, chair of the Vision Invest Africa Advisory Board, echoed this optimism, stating that long-term capital continues to target African infrastructure opportunities despite geopolitical risks.
For investors with a long horizon, such risks are manageable and not unique to the continent. Hott emphasised that investment decisions are driven by both returns and impact, with partnerships playing a crucial role in navigating complex environments.
He highlighted the growing importance of African DFIs, including the Africa Finance Corporation and the African Development Bank, in originating projects and mobilising capital. Their ability to structure large and complex transactions is helping to crowd in private investment and strengthen the overall ecosystem.
At the same time, collaboration with credible local entrepreneurs remains essential for managing risk and sustaining projects through political and economic cycles.
From the perspective of project execution, coordination among stakeholders is often the decisive factor. Erdem Arıoğlu, vice chairman of Turkish construction firm Yapı Merkezi İnşaat, pointed to the company’s extensive experience across Africa, where it has delivered major infrastructure projects and arranged significant financing.
He argued that delays are rarely due to technical limitations but rather to challenges in aligning stakeholders and maintaining clear leadership throughout the project lifecycle.
Arıoğlu stressed the importance of prioritisation and continuous communication among governments, financiers and contractors. Large-scale infrastructure projects often involve a learning curve, particularly for regulatory institutions, but effective coordination can significantly improve delivery timelines.
Local content and skills development are also central to sustainable infrastructure growth. While Yapı Merkezi engages local suppliers where possible, limited access to domestic financing can constrain participation. Expanding local funding sources would enable a greater share of production to be channelled through domestic firms, boosting economic impact. The company’s experience in Ethiopia, where thousands of local workers were trained and employed, highlights the sector’s potential to generate jobs and build technical capacity.
Taken together, these perspectives underscore a broader transformation in Africa’s infrastructure landscape. Institutional investors are becoming more active and outward-looking, regulatory frameworks are gradually improving, and collaboration is deepening across the ecosystem. However, significant challenges remain, particularly in project preparation, policy consistency and the mobilisation of local currency financing.
The direction of travel is nonetheless clear. As African institutions continue to refine their strategies and build partnerships, the continent is increasingly positioning itself to finance its own development. Unlocking domestic capital at scale will depend on sustaining reform efforts, strengthening execution capacity and ensuring that ambition is matched by delivery.