The investment potential of African infrastructure is being increasingly recognised, as is evident by the development of PE activity in this sector. The significant demand for public and private infrastructure investment within Africa spans areas such as power, water supply and sanitation, information and communication technologies.

What is driving this demand? In 2017, the World Bank estimated Africa’s urban population to stand at 472 million people, forecasting it to double over the next 25 years. Infrastructure investment is vital to translating this rapid urbanisation into sustainable economic development. Indeed, the World Bank has stated that US$93bn will be required annually to 2020 to close Africa’s infrastructure gap. PE investors have the opportunity to play a significant role in providing finance to reduce Africa’s infrastructure deficit.