The Emerging Africa Infrastructure Fund (EAIF) is investing $40m (€36m) in Guinea to help expand the country’s rail and port facilities.
EAIF is lending the Guinea Alumina Corporation the amount over 14 years, as part of a $750m debt package being led by the International Finance Corporation.
The majority of the capital will be used to finance port and marine facilities, the railway and associated infrastructure. The development of a greenfield bauxite mine will account for some 6% of the investment.
EAIF executive director Emilio Cattaneo said: “This project aligns with PIDG’s focus on infrastructure development in the world’s poorest countries, and once completed, is expected to add at least 3% to GDP.
“Construction work has already well advanced, and at peak employed over 4,600 people. The mine and its allied infrastructure will provide permanent jobs to approximately 1,000 people.”
EAIF is part of the Private Infrastructure Development Group, a donor-backed organisation that encourages private sector infrastructure investment in the world’s lowest-income countries.