AREF II achieves first close at 130 million euros

The Africa Renewable Energy Fund (AREF) II has secured 130 million euros as first close following a joint investment of €17.5 million from the Sustainable Energy Fund for Africa (SEFA)and the Climate Technology Fund (CTF) through the African Development Bank (ADB).

The SEFA and CT will each contribute about €8.7 million to mobilize private-sector investment into Africa’s renewable energy (RE) sector. The SEFA will also contribute financing to the AREF II Project Support Facility, which funds technical assistance and early-stage project support to improve bankability. The AREF II is a 10-year closed-ended RE private equity fund and has a 300 million target capitalization.