Norfund is investing in the Programme Electricité Pour Tous (PEPT) second social bond issuance in Côte d’Ivoire to help finance up to 400,000 new grid connections for low-income households and small businesses, supporting Côte d’Ivoire’s ambition to achieve universal electricity access by 2030.
The bond issuance (FCTC EPT 2025-2040), totalling XOF 60 billion (EUR 91 million), is structured in three tranches and issued by a securitization vehicle called “Fonds Commun de Titrisation de Créances Électricité Pour Tous” (FCTC EPT).
Norfund will invest approximately EUR 11.5 million (XOF 7.5 billion) in Tranche B, alongside Société Ivoirienne de Banque (SIB), with the latter covered by a risk enhanced guarantee from the International Financial Corporation (IFC).
The transaction builds on the success of the first PEPT bond issuance in 2023. It further deepens participation of local capital markets in the West African Economic and Monetary Union (WAEMU) for energy projects.
“This investment reflects Norfund’s commitment to mobilizing long term local capital and accelerating access to affordable energy in Sub-Saharan Africa. We are delighted to support the PEPT fund as part of this Phase 2 electrification programme which is aligned with both Côte d’Ivoire’s National Development Plan, and Norfund’s objectives in accelerating energy access on the continent,” said Fabrice Mpollo, Senior Investment Manager at Norfund.
PEPT enables low-income households to connect to the grid with a modest upfront payment, while the bulk of the infrastructure cost is paid down over time through the monthly electricity bills.
Since its launch in 2014, the program has facilitated over 2 million connections, 63 percent of them in rural areas. The second bond issuance will finance an additional 400,000 connections, contributing to the World Bank and AfDB’s “Mission 300” initiative, aiming to connect 300 million Africans to electricity by 2030.
Last week, IEA’s World Energy Outlook 2025, showed that around 730 million people still live without electricity, a decrease of 11 million since last year’s report.
The investment is aligned with Norfund’s strategy to promote development impact through local currency financing and support for underserved populations, and Norfund’s goal to increase access to energy. Last year, 750,000 households gained access to electricity from Norfund’s investees.
Norfund is part of an anchor investor group alongside the African Development Bank and The Emerging Africa & Asia Infrastructure Fund (EAAIF). The project also includes as a key stakeholder, CIE, the national electricity company and distributor in Cote d’Ivoire, which will be responsible for the implementation of the programme.
“By joining this innovative transaction, we contribute to accelerating electricity access for underserved populations and to the sustainable development of their communities, while strengthening the alternative financing ecosystem in Côte d’Ivoire”, says Fabrice Mpollo.