Africa Finance Corporation, an Africa-focused private sector-led infrastructure firm has invested $100 million in the construction of the Cabinda Refinery in Angola, to boost the nation's efforts on improving energy production and exports.
- After recently emerging as the largest oil producer in Africa, Angola has joined the AFC as the 35th member state and is partnering with the corporation to improve its energy production level.
- The investment in the construction of the refinery will boost local addition to oil exports and create thousands of jobs in the country.
- The corporation invested $45 million in Sonangol, the state-owned oil company in 2020 as part of the support for Angola in building its first photovoltaic power plant.
- AFC is looking at investing up to $1 billion across sectors including natural resources, transport, and power in Angola to inform sustainable growth and development.
Why this matters?
AFC investment in the Cabinda refinery construction is coming at a time when the demand for Angola's natural resources is in high demand as Europe seeks alternative sources of fuel owing to the Ukraine-Russia crisis.
The further investments will yield an increase in local manufacturing, promote import substitution, support production networks, and drive infrastructural developments such as railways into the sub-regions in the country.