WED MARCH 29 2017-Africa Finance Corporation (AFC), a leading pan-African multilateral development finance institution and project developer, today announces its 2016 fiscal year results.
The results reflect a robust financial performance. Total Comprehensive Income, grew 64% year-on-year to US$115.3 million. Net Profit went up 51% year-on-year to US$109.4 million. Total Assets also rose 13% year-on-year to US$3.4 billion. Total equity grew 6% year-on-year to US1.4 billion while interest income went up by 21% year-on-year to US$192.8 million and fees, commissions and other income rose by 121% year-on-year to US$21.9 million.
During the financial year the corporation recorded US$688 million of new investments, grew its balance sheet to US$3.4 billion, Expanded its operational footprint to 28 countries and 14 country members with expansion to the Horn of Africa (Djibouti). It also was involved in the creation of the African Power Platform Vehicle with Harith General Partners, closing the first bauxite mining transaction (Alufer in Guinea), Issued a debut unsecured Swiss Franc denominated bond, raising CHF 100 million and prioritised investing in projects in sectors crucial for stimulating strong economic growth.
It also invested in the Gabon Special Economic Zone, (GSEZ), a joint venture between Olam and the Republic of Gabon, with a diversified portfolio of strategic infrastructure assets being developed, constructed and operated across various sectors including transport, in Gabon. This AFC investment in a single transport platform vehicle, facilitated the simultaneous development of several projects.
Within the period it financed Hakan, a peat to power plant, which will increase Rwanda’s installed capacity by 40% when it comes online.
Andrew Alli, President and CEO of AFC, while commenting on the results said “2016 has been a successful year for AFC, reflected by our income and profit growth and our balance sheet strength. Operationally, we’ve had a great year too, with investments including Gabon’s Special Economic Zone, paving the way for greater economic diversification in the country. We’ve also strengthened our relationships with development finance institutions and the private sector – for example by launching a Joint Venture with Harith – merging power assets to create a pioneering African Power Platform Vehicle.
“AFC aims to be a US$5 billion Corporation by 2019 and despite a challenging economic environment, we are confident that we have built the firm foundations necessary to continue delivering positive socio-economic change across Africa. Ahead of our 10 year anniversary in May, we look forward to the next chapter in AFC’s growth story.”
AFC’s mission is to address Africa’s pressing infrastructure needs and build the foundations for robust economic development across the continent, while seeking a competitive return on investment for its shareholders. The Corporation has invested approximately US$4 billion in projects across 28 African countries and in its core sectors including power, telecommunications, transport and logistics, natural resources and heavy industries.