AFC Backs First Project Finance Green Bond in West Africa Power Sector

Mintesinot Nigussie

Africa Finance Corporation has helped bring to financial close a €65 million dual-currency green bond to finance a 66 megawatt solar power project in northern Côte d’Ivoire, in what is being positioned as the first project finance green bond in the West African Economic and Monetary Union.

The transaction includes a €43 million disbursement and is structured across euro and CFA franc tranches. Proceeds will support the construction of the Poro solar plant in the Korhogo region, expected to reach commercial operation in 2027 and become Côte d’Ivoire’s largest solar installation.

The plant is designed to generate enough electricity to supply more than 100,000 households and avoid over 72,000 tonnes of carbon dioxide emissions annually.

The deal has been presented as largely African-led, with AFC acting as lead underwriter and co-arranger. The dual-currency structure is being watched as a potential template for blending local and hard currency in infrastructure funding.

The transaction adds to Côte d’Ivoire’s expansion of renewable energy and reflects growing interest in project finance green bonds in the WAEMU region.

Businesses in renewable energy and infrastructure financing are closely monitoring the deal as a model for future projects across West Africa.

Overall, AFC’s backing of the first project finance green bond in the West Africa power sector marks a significant milestone in African-led renewable energy financing.