US approves more than US$8 billion in new investments, including major African digital infrastructure deal

• The US International Development Finance Corporation has approved more than US$8 billion in new investments spanning energy, telecommunications, water infrastructure, trade and critical minerals.
• A major investment in WIOCC Group will support digital infrastructure across 30 African countries, including subsea cables, terrestrial fibre networks and more than 40 data centres.
• DFC is also supporting a critical minerals project in West Africa as part of its wider investment programme.

The US International Development Finance Corporation (DFC) Board of Directors has approved more than US$8 billion in new investments, including financing for critical digital and energy infrastructure in Africa and Ukraine.

The investments were approved on 16 September and are intended to support US exports, strengthen access to strategic resources and infrastructure, and expand the role of American technology in international markets.

In sub Saharan Africa, DFC will make an equity investment in WIOCC Group to strengthen digital infrastructure and expand access to secure and resilient connectivity across the continent.

WIOCC Group operates an open access, carrier neutral platform providing wholesale connectivity, data centre and metropolitan fibre services. Its infrastructure footprint extends across 30 African countries and includes subsea cables, terrestrial fibre networks and more than 40 core and edge data centres.

DFC said the investment is aligned with US strategic interests in supporting American hyperscalers and the wider US technology ecosystem as they expand their presence in Africa. The investment partners include Vision International Investment Company and the Africa Finance Corporation.

DFC is also supporting a critical minerals project in West Africa, although details of the transaction were not disclosed because of commercial sensitivities.

The latest approvals also include a major energy storage investment in Ukraine. DFC will finance a 200 MW and 400 MWh battery energy storage portfolio across six sites, developed by DTEK using technology supplied by US based company Fluence.

The battery systems are expected to improve grid resilience by providing frequency regulation, balancing fluctuations and additional energy security. DFC said the portfolio will provide enough power to serve 600,000 homes for two hours.

DFC will also provide financing to Vodafone Ukraine to strengthen telecommunications infrastructure, including the development of secure 5G networks.

In Jordan, DFC has approved a loan to the National Carrier Project Company and political risk insurance for equity investors Meridiam and Suez. The financing will support the construction, operation and maintenance of a seawater desalination plant and water conveyance system designed to strengthen Jordan’s long term water security.

Separately, DFC will provide a counter guarantee to the International Finance Corporation for its Global Trade Finance Program. The arrangement is intended to help foreign banks expand trade finance capacity and facilitate purchases of US goods in emerging markets.

DFC CEO Ben Black said the approved projects would support US exports while strengthening critical infrastructure and resources in partner countries.

Additional DFC transactions remain confidential because of commercial sensitivities and may require further steps before financial commitment and closing, including notification to the US Congress.

The latest approvals form part of DFC’s broader strategy of using US development finance to support infrastructure, energy security, digital connectivity, trade and access to strategic resources in international markets.

Author: Bryan Groenendaal