AFC Capital Launches Climate Resilient Infrastructure Fund in Nigeria
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AFC Capital Launches Climate Resilient Infrastructure Fund in Nigeria
- ICRF Nigeria lets institutional investors access diversified infrastructure projects without direct project-level investment
- Parent $750m fund blends commercial and concessional capital, with GCF providing $253m as first-loss investor to de-risk private participation
- Only 3.95% of Nigerian pension assets currently sit in alternatives/real estate versus 58.07% in government securities, revealing the gap this fund targets
- AFC Capital aims to mobilise up to $3.7 billion for 10-12 infrastructure projects across Africa spanning energy, transport, digital and industrial sectors
AFC Capital Partners has launched the Infrastructure Climate-Resilient Fund Nigeria (ICRF Nigeria). The fund will channel capital from Nigerian institutional investors into climate-resilient infrastructure projects in Nigeria and other African markets. Announced in Lagos on August 24, 2026, ICRF Nigeria is registered with Nigeria’s Securities and Exchange Commission as a closed-end fund. It will give pension funds, insurers, asset managers and other institutional investors access to a diversified infrastructure portfolio.
Fund Targets Key Infrastructure Sectors
ICRF Nigeria forms part of AFC Capital Partners’ wider $750 million Infrastructure Climate-Resilient Fund. The fund considers climate risks throughout the planning, construction and operation of infrastructure projects.
Its target sectors include renewable energy, transport and logistics, digital infrastructure and industrial development. Each potential investment will undergo an assessment of physical and transition risks. These include exposure to extreme weather, emissions pathways and climate governance. The wider fund combines commercial and concessional capital. This structure is designed to reduce risks that have limited private investment in African climate adaptation projects.
The Green Climate Fund has committed $253 million as a first-loss investor. The European Investment Bank has committed a further $52.48 million. Other participants include the Development Bank of Southern Africa, Cassa Depositi e Prestiti, the Nigeria Sovereign Investment Authority and several African pension funds.
AFC Capital Partners expects the fund to mobilise up to $3.7 billion in total financing. The capital is expected to support 10 to 12 infrastructure projects across Africa.
Nigeria’s Institutional Capital in Focus
ICRF Nigeria enters a market with substantial long-term institutional savings. Much of Nigeria’s pension capital, however, remains invested in government securities.
The National Pension Commission reported that 58.07% of Nigerian pension assets were invested in federal government securities at the end of March 2026. Alternative assets and real estate accounted for 3.95%. ICRF Nigeria is designed to give these investors a structured route into infrastructure. Rather than selecting individual projects, investors can gain exposure through a diversified portfolio.
AFC Capital Partners CEO Ayaan Adam said the fund provides Nigerian institutional investors with access to climate-resilient infrastructure opportunities in Nigeria and across Africa.
Africa Finance Corporation President and CEO Samaila Zubairu said Africa has more than $4 trillion in domestic resources across pensions, insurance, sovereign wealth funds and other pools of capital. He said dedicated investment vehicles can help connect these savings with infrastructure, industry and innovation.
AFC Capital Partners is the asset management subsidiary of Africa Finance Corporation and is licensed as a fund manager by Nigeria’s Securities and Exchange Commission. The launch gives Nigerian institutional investors a new channel into infrastructure while linking domestic savings with projects focused on climate resilience.
