Private Capital Group for Africa

Catalyzing Investment in Africa 

The African Opportunity

Net direct investment: $1.5 billion in 1990, $6.1 billion in 2000, $20 billion in 2010, and $41.6 billion in 2013.

Foreign direct investment in African projects has been steadily increasing in recent years. Net direct investment on the continent, which once stood at $1.5 billion in 1990, reached over $20 billion in 2010. Today, 82% of capital flowing to the developing world comes from the private sector, dwarfing the level of funding from donor countries and development institutions. This flow of capital presents an opportunity to forge a more strategic relationship between private sector investment and development assistance.

The Role of the Private Capital Group for Africa

USAID's Private Capital Group for Africa (PCGA) works with various sources of private capital to facilitate greater investment in Africa in support of key development objectives of the United States and African governments and institutions. PCGA can have a direct impact on the success of private sector initiatives throughout Africa by proposing best-practice models, designing scalable investment platforms, and identifying strategic project development partners in areas for greatest potential impact, such as the energy, health, and agricultural sectors.

PCGA Leverage and Impact:
Leveraging experience
  • Proposing best practice models
  • Designing scalable investment platforms
  • Identifying "bankable" transactions
Building partnerships
  • Identifying strategic and financial investors
  • Reaching out to key intermediaries
  • Networking with industry and trade groups
Fostering innovation
  • Suggesting innovative transaction structures
  • Identifying problems and solutions early
  • Negotiating as an independent advisor, representing the transaction

The PCGA Offering

  • A unique set of relationships: PCGA has the ability to draw upon the U.S. government’s convening power as well as USAID’s large presence in Africa to bring in industry associations, investment agencies, local partners, host government agencies, and diverse sources of capital to a broad range of project developers.
  • Seasoned experts: The PCGA team draws upon its extensive private sector transaction experience, local market knowledge, and understanding of U.S. government tools and resources to assist private sector firms overcome investment challenges, accelerate the transaction process, and integrate development-focused approaches into their investment strategies.
  • The end result: PCGA’s activities generate engaged investors, accelerated deal closings, and more sustainable transactions that can be replicated and scaled across core sectors throughout Africa.

Contact PCGA:

Last updated: January 29, 2013

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