The International Solar Alliance (ISA) said on Thursday that it has entered into exclusive discussions with Africa50 to have it serve as a potential investment manager for ISA’s proposed Africa Solar Facility (ASF).
This decision follows a public expression of interest (EOI) process initiated by ISA to identify entities capable of serving as the ASF’s investment manager.
Solar power as a key climate solution
The announcement was made during the first-ever International Solar Festival 2024, a landmark event organised by the ISA, an intergovernmental organisation that works with governments to promote solar power as a key climate solution and a sustainable way to transition to a carbon-neutral future.
Speaking on the occasion, ISA Director General Ajay Mathur said, “I am delighted to share that we are partnering with Africa50 to implement the first regional fund in Africa under the umbrella of ISA’s flagship private sector programme, the Global Solar Facility.”
Africa50 will be an ideal partner for ISA’s Africa Solar Facility, as it brings together the best of both public and private sectors, combining public sector reach and resources with the private sector’s agility and investment capabilities, he added.
Unlocking investment
The ASF is a $200 million initiative designed to unlock investment in distributed solar projects across Africa. By offering tailor-made and cost-effective financing solutions, the facility aims to bridge the gap in a currently underserved market, where smaller project sizes and high perceived risks have hindered investment despite the critical need for clean energy.
The ASF will play a vital role in expanding energy access, accelerating solar deployment, and driving sustainable development across the continent.