International Finance Institutions Deepen Investment in Africa’s Mining Sector.

Wednesday 16th July 2025

By inAfrika Reporter

CAPE TOWN, South Africa International finance institutions are playing an increasingly pivotal role in Africa’s mining sector, providing essential capital and technical support to unlock the continent’s vast mineral potential. Last month, Angola became a sovereign shareholder in the Africa Finance Corporation through a $184.8 million equity investment. This milestone builds on over $1 billion in financing that Angola has already received, including for the Lobito Corridor an integrated logistics project connecting Angola, Zambia, and the Democratic Republic of Congo.

Institutions such as the International Finance Corporation, African Development Bank, and European Bank for Reconstruction and Development are actively funding mining projects throughout the continent. The upcoming African Mining Week, Africa’s premier gathering for mining stakeholders scheduled for October 1-3 in Cape Town, will showcase strategic moves by mineral-rich countries to enhance cooperation with global financiers. A dedicated panel titled The Investor Perspective – Financing Africa’s Mineral Industrialization will discuss the investment landscape for Africa’s mining sector.

Algeria officially joined the New Development Bank a multilateral institution founded by BRICS countries earlier this year, enhancing its access to capital and technical support for its oil, gas, and mineral industries. In the same month, Benin, Ivory Coast one of Africa’s largest gold producers and Nigeria were designated as recipient countries by the EBRD, expanding their access to funding for energy and mining projects.

Ghana, Africa’s largest gold producer, recently joined Nigeria and Angola in completing their capital contributions to the upcoming Africa Energy Bank. Spearheaded by the African Petroleum Producers Organization and Afreximbank, this bank will serve as a dedicated financing institution for African extractive sector projects.

In March, Somalia became the 53rd member of Afreximbank, a move expected to unlock new financing channels for the country’s gold mining and trade-related developments. In 2024, Ivory Coast and Botswana the world’s largest diamond producer joined the AFC as sovereign shareholders, while Libya became the 53rd member of Afreximbank.

In line with efforts to align financial innovation with mineral sector development, the African Development Bank approved a $150 million senior loan to Mauritania’s state-owned mining firm, Société Nationale Industrielle et Minière. The funding supports a $467 million logistics expansion program aimed at doubling iron ore railway transport capacity by 2030 and scaling up production of higher value-added products like iron ore pellets. The project integrates renewable energy through the construction of a 12 MW solar plant and includes climate resilience measures supported by the Africa Adaptation Acceleration Program.

Amidst these developments, African Mining Week connects policymakers with global investors to forge new partnerships aimed at unlocking Africa’s full extractive potential.