The Africa Energy Guarantee Facility: the first political risk insurance for clean energy investments across Africa
USD 1.4 billion of new clean energy investment across Africa will be supported by a new investment insurance initiative launched by Munich Re, the African Trade Insurance Agency (ATI) and the European Investment Bank (EIB). The Africa Energy Guarantee Facility (AEGF) will provide the first dedicated reinsurance for sustainable energy projects across Africa.
The joint initiative to tackle key investment challenges holding back crucial energy investment across Africa was formally launched at Munich Re headquarters in Munich by Dr. Werner Hoyer, President of the European Investment Bank, Dr. Doris Höpke, Member of the Board of Management of Munich Re and George O. Otieno, Chief Executive Officer of the African Trade Insurance Agency.
The AEGF will significantly boost private investment in sustainable energy projects, both expanding access to clean energy and contribute to achieving UN Sustainable Development Goals. The scheme will support new private sector investment in eligible renewable energy, energy efficiency and energy access projects in 25 sub-Saharan African countries.
Munich Re CEO Joachim Wenning: The Africa Energy Guarantee Facility is another example of our strategy to create new markets by pushing back the boundaries of insurability. Munich Re has become the go-to reinsurer when it comes to creating innovative solutions and forging new partnerships. The AEGF will remove a major obstacle for renewable energy investments in Africa. For Munich Re, the AEGF is a blueprint for risk-sharing between insurers, reinsurers and international financial institutions and we strive to address other impediments to the development of emerging countries with comparable solutions Read more https://www.afdb.org/en/topics-and-sectors/initiatives-partnerships/sustainable-energy-fund-for-africa/
Release date: 20 March 2018