Green guarantee funds for Africa
63 matching capital sources on the ASFIP database · Last checked October 2026
A guarantee does not put cash into a project. It promises to pay a lender or counterparty if a defined risk occurs, such as a buyer defaulting on payments, currency moving or a borrower failing to repay. That promise lets local banks and investors lend on terms they would otherwise refuse.
This page lists the guarantee and credit-enhancement providers on our database with an Africa mandate. Most guarantees are arranged with the lender or bank, not applied for directly by the project, so the route in usually begins with your financier.
What guarantees typically cover
The cover depends on the provider, and terms are set deal by deal.
- Partial credit guarantees on bank loans or bonds.
- Payment guarantees on a buyer's obligations, such as a power offtaker.
- Local-currency and political risk cover.
- Portfolio guarantees that let a bank lend to many smaller businesses.
Precedent: GuarantCo and Africa GreenCo
GuarantCo's $27 million guarantee backed GreenCo's payment obligations to independent power producers. It did not finance panels directly. It made the buyer creditworthy, and that unlocked the generation finance. The full breakdown is in our deal structures section.
The funders
Each profile shows mandate, instruments and sector appetite. Verified contacts and application routes are available to members.
- Fonds Africain de Garantie et de Coopération ÉconomiqueBlended Finance Facility · BeninPan-African guarantee fund (headquartered in Cotonou, Benin) established by African states to guarantee public and private investment loans, including infrastructure and agribusiness projects across West and Central Africa.GuaranteesConcessional Debt
- Etihad 7Blended Finance Facility · United Arab EmiratesUAE-led multi-stakeholder development finance initiative launched in 2022 to mobilise funding (targeting 100 million people with clean power by 2035) for renewable energy projects across Africa, bringing together ADFD, Masdar, ECI and other UAE entities; forms the umbrella for the US$4.5bn Africa Green Investment Initiative announced at COP28.Concessional DebtGrantsEquity
- Multilateral Investment Guarantee AgencyMDB · United StatesGuaranteesInsurance
- BIO - Belgian Investment Company for Developing CountriesDFI · BelgiumDebtEquityMezzanine
- Islamic Corporation for the Development of the Private SectorDFI · Saudi ArabiaPrivate-sector arm of the Islamic Development Bank Group providing Shariah-compliant direct financing, equity, lines of finance to banks/FIs, and advisory services for private enterprises across IsDB member countries, including North, West and East African markets, with a published online eligibility/application form.DebtEquityMezzanine
- ProparcoDFI · FrancePrivate-sector arm of Agence Française de Développement, active across Francophone and Anglophone Africa.DebtConcessional DebtEquity
- Agence Française de DéveloppementDFI · FranceConcessional DebtDebtGrants
Showing 7 of 63 matching capital sources. The remaining 56 — including their verified routes and eligibility criteria — are reserved for members.
Common questions
- Can a small business apply for a guarantee directly?
- Rarely. Most guarantee providers work through banks, bond arrangers or fund managers. A small business usually benefits by borrowing from a bank that holds a portfolio guarantee.
- What is a green guarantee fund?
- A green guarantee fund backs loans, bonds or payment obligations for climate-aligned projects such as renewable energy, clean transport or resilient infrastructure. It covers part of the lender's loss if the borrower or buyer defaults, so banks and investors can lend more, for longer, or at lower cost.
- Is a green guarantee the same as a grant?
- No. A guarantee is contingent: money is paid only if the covered risk occurs, and the borrower still repays its loan. It reduces risk and pricing rather than providing funding.