LAGOS – The African Private Capital Association’s (AVCA) third Sustainable Investing in Africa Summit (SIAS) convened more than 150 global leaders, investors, changemakers, and ecosystem builders to catalyse sustainable investment in Africa.
The one-day summit delved into innovative strategies to mobilise local and global capital, advocating for urgent action on climate change and setting the agenda for inclusive growth across the continent.
Abi Mustapha-Maduakor, CEO, AVCA, in her opening remarks, addressed Africa’s capacity to originate innovative solutions despite facing challenges.
She said: “Africa is rich in creativity, resilience, and potential. However, we face legacy issues such as infrastructure deficits and low financial inclusion. We are witnessing a seismic shift that brings together capital, knowledge, and the brightest minds to align on sustainable pathways to development. Together, we have the opportunity to be catalysts for transformative change.”
A critical theme across all panels was the importance of mobilising domestic capital to complement foreign direct investment (FDI) flows to Africa. Zee de Gersigny, Head, Venture and Early Stage Financing Vehicles, FSD Africa Investments, noted that African domestic investors, particularly pension funds and financial institutions, held around $2 trillion in collective assets which could be mobilised to invest in renewable energy, education, broadband connectivity and water sanitisation among others.
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Panellists pointed to key markets including Kenya and South Africa where regulatory reforms have enabled pension funds to invest in non-traditional asset classes such as infrastructure.
Speakers noted that Africa is a key region where impact investments can yield healthy returns. However, to stimulate investment at the pace and scale needed for Africa to meet the sustainable development goals (SDGs), investors need to re-imagine what successful investment in Africa looks like.
Tom Hall, Head, Social Impact and Philanthropy, UBS, said: “The power of partnerships is crucial in mobilising capital efficiently, and we need innovative blended finance solutions that we can scale. By aligning financial returns with transformative impact, we can channel significant resources to tackle Africa’s most pressing challenges.”
‘Tokunboh Ishmael, Co-founder and Managing Director, Alitheia Capital, said: “It’s important to redefine “returns” to value impact alongside financial gains, rather than comparing African investments to those in Silicon Valley”. Runa Alam, Co-founder and Chief Executive Officer, Development Partners International, added: “Impact for us is defined by job creation, gender equity and financial inclusion. We hold financial returns and impact as equally important because we need to do both in Africa.”
Speakers also noted that concerns over liquidity and exit options were key barriers to private investment in Africa. Albert Alsina, Founder and Chief Executive Officer, Mediterrania Capital Partners, said: “Barriers to exits stem from opaque markets, even for strong-performing companies in Africa”. Panellists agreed that strengthening public markets and secondary markets would help overcome the perception that there is a lack of exit options in Africa.
Ross Ferguson, Senior Private Sector Adviser, UK Foreign, Commonwealth, and Development Office, proposed that public entities could play a much more active role derisking public markets in Africa. He pointed to Mobilist, a UK government programme, that invests equity capital in emerging and frontier market companies to help them list on public markets and stock exchanges.
The event concluded with a call for partnerships, collaboration, and innovation to ensure Africa meets the SDGs and drives lasting impact beyond 2030.
