US Agency Plans to Expand Equity Investments in Africa, With Focus on Critical Minerals and Infrastructure

Johannesburg, October 9, 2026: The US International Development Finance Corporation (DFC) plans to increase its direct equity investments in Africa, particularly in critical minerals and strategic infrastructure, as Washington seeks to strengthen supply chains and reduce dependence on China.

Vibhuti Jain, DFC’s Regional Managing Director for Africa, told Reuters that the agency expects equity investments to play a growing role in its financing strategy. She indicated that the DFC would use equity alongside, or in place of, other financial instruments when projects are considered strategically important.

Critical Minerals Drive Investment Strategy

Critical minerals have emerged as a major focus of international economic competition because of their importance to electric vehicle batteries, renewable energy technologies and advanced manufacturing.

The DFC has more than $14 billion in investment commitments across Africa, with over $3 billion directed towards critical minerals projects or related activities, according to figures cited in the report. Its project pipeline includes rare earth developments and a graphite mine in Mozambique.

The proposed expansion of equity financing could give the agency greater flexibility to support projects that require long-term capital and carry significant commercial or strategic risks.

WIOCC Investment Marks a Major Milestone

In September 2026, the DFC announced an equity commitment of up to $155 million to African digital infrastructure provider WIOCC Group. The investment was described as the agency’s largest equity commitment to date.

The deal highlights the DFC’s interest in expanding digital connectivity and supporting infrastructure that can help African economies participate more effectively in the global digital economy.

Transport Infrastructure and Mineral Supply Chains

Beyond direct investment in mining, the DFC is supporting the rehabilitation of the Lobito Corridor, a transport route designed to connect copper- and cobalt-producing areas in Central Africa with the Atlantic coast.

Improved transport infrastructure could help reduce logistical bottlenecks, facilitate mineral exports and strengthen connections between African producers and international markets. These investments also align with US efforts to diversify access to resources essential for clean-energy technologies.

Equity Will Complement Other Financing Tools

Despite plans to expand equity participation, the DFC is expected to continue relying more heavily on debt financing, credit guarantees and political risk insurance in the foreseeable future.

The agency’s evolving approach reflects a broader effort to mobilise private capital for projects that support economic development while advancing US commercial and strategic interests.

Outlook

The expected increase in DFC equity investments could create new opportunities for African mining companies, infrastructure developers and technology businesses seeking long-term funding.

However, the scale and timing of future investments will depend on individual project assessments, financing requirements and commercial viability. For African economies, the broader impact will depend on whether the investment pipeline translates into sustainable employment, stronger local industries and greater value addition within the continent.