Africa-focused investment funds are still struggling to find
eligible projects and assets to invest in. A new, more
collaborative approach to financing may be needed to boost
IFLR first reported concerns that African businesses were
not yet ready to absorb existing volumes of private equity (PE)
funds dedicated to the continent in 2015.
Now those concerns appear to have crystallised as the
additional financing available from PE firms has not brought
the boom in growth many expected when funds first began
entering the continent.
"Development is constrained not by a lack of financing, but
by a lack of investable projects," said Simon Jackson, project
finance director at Access Power in Dubai. "The challenge with
smaller projects is to finance them without drowning the
economics in legal and due diligence costs."
To counteract recent challenges, Jonathan de la Pasture,
head of Africa debt finance at Liberty said the firm...