World Bank mobilises $22bn in private capital across Africa in FY2026

Save as PDF 

LUANDA – The World Bank Group mobilised about $22 billion in private capital across Africa during fiscal 2026, almost 150% more than the roughly $9 billion mobilised four years earlier, as the institution expanded its use of guarantees, risk-sharing instruments and other mechanisms to attract private investment into developing economies.

The African figure forms part of a record $112 billion in private capital mobilised globally by the World Bank Group in FY2026, compared with $35 billion in FY2022 and $69 billion a year earlier. When combined with the Group’s own financing, total financing and private capital mobilisation for developing economies exceeded $200 billion during the fiscal year.

The increase reflects a broader shift in the World Bank Group’s approach to development finance, with public resources increasingly being used to reduce investment risks and crowd in institutional and private-sector capital.

The instruments include guarantees, local-currency financing, equity investments and risk-sharing structures designed to make projects in emerging markets more attractive to investors.

The Group issued more than $25 billion in guarantees in FY2026, exceeding its annual target of $20 billion for 2030 four years ahead of schedule.

Nigeria was among the major African markets within the World Bank Group’s financing and private-sector operations. As of June 30, 2026, World Bank commitments to Nigeria stood at about $45.1 billion across 215 projects, while International Finance Corporation investments reached $11.5 billion across 116 projects.

Among the operations approved in 2026 were $750 million and $500 million programmes aimed at accelerating investment and job creation, alongside a $500 million agricultural programme under AGROW.

The World Bank also approved a $500 million operation in December 2025 to expand access to finance for Nigerian small and medium-sized enterprises.

The $22 billion African figure should not be interpreted as money lent directly by the World Bank to African governments.

It refers to private capital mobilised by World Bank Group operations, including financing and guarantees that help bring private investors into projects that might otherwise face higher perceived risks.

The strategy is increasingly relevant to Africa’s financing gap in infrastructure, energy, agriculture, manufacturing, healthcare and other productive sectors.

In FY2026, 55% of the World Bank Group’s total financing, including mobilised private capital, was directed towards sectors identified as having high job-creation potential.

For Africa, the numbers point to a growing emphasis on using development finance not only to fund projects directly, but also to leverage public-sector balance sheets to unlock larger pools of private capital for long-term investment.