BII Targets £2.25 Billion for Infrastructure and Investment in Africa's Frontier Markets

British International Investment (BII), the UK's development finance institution, plans to deploy and mobilize approximately £2.25 billion ($3 billion) in Africa's frontier markets and least-developed countries over the next five years. Bloomberg reported on 2 November 2026 that the allocation represents 25% of BII's planned £9 billion investment and capital mobilization program for Africa under its 2026–2031 strategy. The initiative aims to expand financing for businesses and infrastructure in economies that struggle to attract major international institutional investors.

 

Under its African investment strategy, BII intends to commit £5 billion of its own capital and mobilize another £4 billion from investment partners, focusing on electricity infrastructure, ports, railways, telecommunications towers and data centers. The wider strategy targets approximately £15 billion in investment commitments and mobilized capital across BII's markets. Chief Executive Officer Leslie Maasdorp said the institution would prioritize higher-risk economies, including countries such as Burundi and the Democratic Republic of Congo, where weak sovereign credit ratings and limited investor appetite constrain access to commercial financing.

 

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BII also intends to work with local financial institutions to strengthen domestic capital markets and improve businesses' access to funding. Investment priorities include financial inclusion, small and medium-sized enterprises, agriculture, women-owned businesses and sustainable manufacturing, particularly electric mobility. Seema Dhanani, BII's Regional Director for East Africa, said, "Banks give us scale, and they also give us reach," highlighting their role in directing financing towards underserved sectors. The broader 2026–2031 strategy also targets at least 40% of new investments for climate finance and 30% of new core investments for gender finance.

 

The initiative reflects BII's approach to development finance, combining direct investment with private capital mobilization to address financing barriers in markets often excluded from conventional institutional investment strategies. By supporting essential infrastructure and local financial systems, BII aims to create conditions for sustained private investment and economic development. However, the £2.25 billion represents a planned allocation over five years, not capital already invested. Its eventual impact will depend on project selection, successful mobilization of investment partners, and the delivery of development outcomes.

 

Source: Bloomberg