Africa Finance Corporation Breaks New Ground With CHF350m Digital Bond
This milestone transaction makes the Corporation the first African institution to issue a Digital Bond listed, traded and settled on a regulated digital exchange.
Africa Finance Corporation (AFC) , the continent’s leading infrastructure solutions provider, announced that it has successfully raised CHF 350 million through a 5-year Digital Bond. This milestone transaction makes the Corporation the first African institution to issue a Digital Bond listed, traded and settled on a regulated digital exchange. The issuance is also the largest digital bond ever issued in the Swiss Franc market, reinforcing AFC’s leading role in international capital markets.
The bond was priced at a coupon of 1.4925%, efficiently delivering funding within the Corporation’s USD 500 million benchmark issued in June 2026, and demonstrating AFC’s ability to combine innovative funding structures with competitive pricing. Efficiently timed amidst the ongoing geopolitical uncertainty, the transaction benefited from constructive investor sentiment and AFC’s dual investment grade rating- ‘A’ with a positive outlook by S&P, and A3 with a stable outlook by Moody’s.
Attracting a high-quality investor base, the issuance had approximately 90% of demand coming from Swiss domestic investors and 10% from international accounts. Additionally, banks and financial services institutions represented the largest investor group, accounting for 57% of the orderbook, followed by asset managers at 37%, while hedge funds accounted for 6%. The strong investor demand and quality of the book reflect continued market confidence in AFC’s strong credit profile. This historic issuance further strengthens the Corporation’s presence in the Swiss capital markets and marks AFC’s fourth and largest Swiss Franc issuance to date, following its CHF 150 million Green Bond issued in 2020 – the Corporation’s inaugural Green Bond.
“This transaction is about far more than achieving competitive pricing. It marks another significant milestone in AFC’s funding journey and underscores the confidence global investors continue to place in our strategy, credit strength, and development impact. As we continue to diversify and innovate our funding approach, expanding the range of capital solutions available to AFC will remain central to mobilising long-term financing at scale and delivering on our mandate to accelerate Africa’s industrialisation and economic transformation.”
– Samaila Zubairu, President&CEO, AFC
“This transaction is a proud milestone for our funding programme. Pricing the largest digital bond ever issued in the Swiss Franc market reflects not only the strength of AFC’s credit but the depth of trust that Swiss and international investors have placed in our strategy over time. The digital format of this bond is not an end in itself but a signal of our commitment to being at the frontier of innovation in the capital markets as we continue to diversify and strengthen AFC’s funding base to support Africa’s development”
– Banji Fehintola, Executive Board Member and Head of Financial Services, AFC
Issued under AFC’s US$5 billion Global Medium-Term Note Programme, the digital bond is structured as a tokenized security using Distributed Ledger Technology (DLT), with ownership recorded on a regulated digital register and settlement taking place through a regulated digital market infrastructure. The bond is admitted for trading and listing on the SIX Swiss Exchange and deposited with SIX Digital Exchange, the clearing and settlement system operated by SIX SIS AG. The proceeds will support AFC’s general funding requirements and strengthen the Corporation’s capacity to finance transformational infrastructure across Africa.
The transaction was arranged by Commerzbank AG (Technical Lead) and Deutsche Bank AG London Branch, acting through the Deutsche Bank AG Zurich Branch.
