The Emerging Africa Infrastructure Fund (EAIF) has signed three deals.  EAIF provides long-term US dollar and euro-denominated debt finance to commercially viable private sector infrastructure ventures in Sub-Saharan Africa.


While EAIF lends on commercial terms, it aims to support projects that promote economic growth and poverty reduction, benefit broad-based population groups; address issues of equity and participation, and promote social, economic and cultural rights.


The fund is advised by Frontier Markets Fund Managers (FMFM), a division of Standard Bank Plc, formerly known as Emerging Africa Advisers.


EAIF has committed a US$35mn loan to Celtel Nigeria, the third largest mobile operator in Nigeria. This is part of a US$350mn financing package for the expansion and upgrading of its entire network. The project will significantly improve access to mobile telephone services throughout the country, as well as increasing competition in the telecoms sector across the continent.


EAIF has also committed a US$20mn loan to support the privatisation of Eleme Petrochemicals. This project forms part of Nigeria’s privatisation programme and will contribute significantly to the rehabilitation of Nigeria’s infrastructure, including through import substitution, privatisation demonstration effects and a community programme bringing power to an area of 50,000 people.


Lastly, EAIF has committed a US$36mn loan to Ethiopian Airlines “expansion project.  Ethiopian Airlines is a 100% publicly-owned entity often held up as a model business for other airlines in Africa. The EAIF financing is bridging a crucial gap enabling the airline to purchase additional, new aircraft at a cost of US$460mn.


The airline is the number one formal sector employer, employing over 4,500 employees.  In addition, it supports the domestic transport sector (on account of the inaccessible terrain) and directly contributes to Ethiopian tourism.