The African Export-Import Bank’s (Afreximbank) development equity impact investment arm, the Fund for Export Development in Africa (FEDA), has announced a $300 million strategic investment in the Africa Minerals and Metals Processing Platform (A2MP). This move underscores Afreximbank’s commitment to supporting Africa’s mining sector and promoting sustainable economic growth.
A2MP is a diversified pan-African platform focused on mining and processing, with a portfolio spanning nine countries and a robust pipeline of twelve mineral assets and four processing hubs. The platform aims to unlock and scale minerals and metals value chains sustainably across the continent, addressing the challenges posed by the depletion of high-grade and easily accessible ore reserves.
The investment will enable A2MP to develop additional processing hubs, including those for rare earths, battery precursors, and other critical minerals, strengthening value addition across the continent. Dr. George Elombi, President and Chairman of the Board of Directors of Afreximbank and FEDA, noted that the investment aligns with the bank’s vision to transition Africa from raw-material exports to a fully integrated system of mining and local manufacturing.
Gagan Gupta, Founder of A2MP, described the investment as a pivotal moment for Africa’s industrial journey, enabling the platform to scale its fully integrated model of responsible extraction, processing, and transformation. Marlene Ngoyi, CEO of FEDA, emphasized that the investment embodies the type of transformative investment that aligns with FEDA’s vision for Africa’s mining future, retaining beneficiation and processing within the continent.
Afreximbank has been a key player in promoting intra-African trade and industrialization, with a total assets and contingencies of over $40.1 billion and shareholder funds of $7.2 billion. The bank has launched initiatives such as the Pan-African Payment and Settlement System (PAPSS) and a $10 billion Adjustment Fund to support countries participating in the African Continental Free Trade Agreement (AfCFTA).
The investment in A2MP is expected to have a significant impact on Africa’s mining sector, promoting sustainable economic growth and industrialization. With FEDA and Afreximbank’s support, A2MP is poised to become a leading player in the continent’s mining and processing industry, creating thousands of jobs and delivering lasting impact for communities. The partnership reinforces Afreximbank’s commitment to supporting Africa’s economic development and promoting intra-African trade.