THE EU-AFRICA INFRASTRUCTURE TRUST FUND (AITF)

prepared by the ITF Secretariat May 2014

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What does the AITF do? 2

The regional envelope promotes infrastructure projects with a demonstrable regional impact in the transport, energy, water and ICT sectors.

The SE4ALL envelope, operational since July 2013, supports regional, national and local projects targeting SE4ALL objectives.

The EU-AITF was established in 2007 to increase investment in regional infrastructure in Sub-Saharan Africa by blending long term loans from participating financiers with grant resources from the European Commission and EU Member States.

Which projects can be supported how? 3

1) Able to demonstrate development impact by contributing to:

• Poverty reduction • Economic development and trade • African ownership

2) Must show: • Economic viability • Sustainable O&M plans

Grants can be in the form of:

• Technical assistance (TA) • Interest rate subsidies (IRS) • Investment grants (IG) • Financial instrument (FI)

Who are the Donors to the AITF?

SE4ALL infrastructure projects

Regional infrastructure projects

60

308.7 27

160.85

329

0

100

200

300

400

500

600

700

800

900

Apr.2007 Dec.2013

AITF Financial resources (million EUR - cumulative)

EC regional envelope EU MS regional envelope EC SE4All window

Regional Envelope EUR 469.5m

SE4ALL Envelope EUR 329m

Currently total pledged

resources: EUR 798.5m

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Operational Results (2007/ May2014) 5

AITF is a highly successful instrument: • 96 approved grant operations, totaling a net

commitment of EUR 501.6m (65% of AITF pledged resources).

• Approved AITF grants supporting investment phase of projects (EUR 410m) will contribute to potentially enabling over 5,6 billion euros in estimated total project costs to be realised (which equates to a leverage effect 13.5).

• More than 60% of the AITF projects are in the energy sector.

• Interest rate subsidies represents 43% of the approved grant operations.

• A strong pipeline: EUR 400m of potential advanced grants

4% 8%

26%

62%

Multisector

ICT

Water

Transport

Energy

10%

26%

43%

16%

5% Direct Grant

Technical Assistance

Interest RateSubsidy

Investment Grant

FinancialInstrument

Grant operations approved by project

stage 6

Implementation

64%

Preparation 36%

Distribution (in amount) per project stage

Implementation 43%

Preparation 57%

Distribution (in number) per project stage

The AITF in the regions 7

(in % of approved grant amounts)

AITF support is spread over Sub-Saharan Africa Regions

Sub-Saharan Africa

4%

Central Africa 5%

West Africa 30%

Southern Africa & Indian

Ocean 26%

East Africa 35%

Pipeline by project stage 8

Undefined 52%

Investment phase 29%

Project preparation

19%

Distribution (in number) of Grants per project stage

Undefined 53%

Investment phase 34%

Project preparation

13%

Distribution (in amount) of Grants per project stage

THANK YOU.

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For more information please visit our website:

www.eu-africa-infrastructure-tf.net

Pictures: © Mercator Media 2012, © PAPN, © Photothèque BEI