AfDB and ILX complete first joint renewable energy transaction in Egypt
The African Development Bank Group (AfDB) and ILX have completed their first joint transaction, marking an important milestone in their partnership to mobilise European institutional capital for climate‑aligned infrastructure projects across Africa.
ILX has invested USD 40 million through a B‑loan participation in a senior debt facility originated by the African Development Bank, supporting Suez Wind Energy S.A.E., a renewable energy company developing a wind power project in Egypt. The investment forms part of a total USD 140 million loan arranged by AfDB.
The project is classified as climate mitigation finance under the African Development Bank’s climate finance framework and directly contributes to emissions reduction through renewable electricity generation. It supports Egypt’s energy transition by addressing power supply constraints linked to fossil fuel shortages, reducing reliance on natural gas and heavy fuel oil, conserving foreign exchange reserves by limiting fuel imports, and increasing the share of renewable energy in the national energy mix in line with the country’s climate commitments.
This first transaction demonstrates the practical implementation of the strategic partnership between AfDB and ILX to scale up institutional investor participation in Paris‑aligned, non‑sovereign private sector operations. The collaboration reflects AfDB’s mandate to mobilise private capital for development and climate action, and ILX’s strategy of channeling long‑term European pension capital into high‑impact investments alongside multilateral development banks with strong regional presence and robust environmental, social and governance (ESG) standards.
The investment contributes to the African Development Bank’s ‘High Five priorities’, notably Light up and Power Africa, while advancing broader climate and SDG objectives through clean energy infrastructure and sustainable growth.
Hassatou N’Sele, Vice President and Chief Financial Officer of the African Development Bank Group, said:
'This first transaction with ILX illustrates how the African Development Bank continues to mobilise long‑term institutional capital in support of climate mitigation and sustainable infrastructure across our regional member countries. By working with partners such as ILX, the Bank is accelerating Africa’s energy transition while maintaining strong development impact and rigorous ESG standards.'
Manfred Schepers, Chief Executive Officer of ILX, said:
'Completing our first transaction with the African Development Bank is a significant milestone for ILX. AfDB’s deep regional expertise across Africa and proven track record in structuring high‑impact projects gives institutional investors confidence to deploy capital at scale. This investment demonstrates how development finance partnerships can mobilise pension capital to support climate‑aligned growth in emerging markets and Africa in particular.'
Sjoerd Sjoerdsma, Minister of Foreign Trade and Development Cooperation, said:
'This transaction shows the power of multilateral institutions and partnerships. ILX and the AfDB are building bridges, allowing institutional investors to step in and unlocking investment at scale. The project strengthens Egypt’s energy security and economic resilience, highly relevant in today’s context. The Netherlands, together with Germany and the UK, supported ILX in the start-up phase and continue to support this agenda. We commend the AfDB and ILX for demonstrating that development finance is a scalable asset class, and look forward to many more transactions ahead.'