British International Investment, the UK’s development finance institution and impact investor, announced today that it had committed £1.09 billion to African companies in 2024 to create jobs, reduce aid dependency and combat the climate emergency.
The sum was nearly 40 per cent more than its 2023 total of £725 million, despite the difficult investment environment caused by macroeconomic headwinds.
BII’s total net assets increased to £9.9 billion (£8.5 billion in 2023) while post-tax profits improved to £213.3m compared with a £44 million loss in 2023.
The figures are contained in BII’s Annual Review, which was published today. About 62 per cent of investments were made in African companies while businesses in Asia received 36 per cent (£626 million). Commitments to companies with operations in both continents received £29 million.
In total, BII invested $903 million (£708 million) in climate finance in 2024, 41 per cent of its overall commitments for the year. This compares with just $104 million (£80 million) in 2020. The company’s climate finance assets now make up over 26 per cent of its entire portfolio, up from just over 15 per cent in 2020. Over the last three years, BII has invested over $2 billion in climate finance.
Based on all direct renewable energy investments in BII’s 2023 portfolio, 1.5 million tons of CO2e emissions were avoided on an attributed basis, a 54 per cent year-on-year increase. This was driven by a growing renewable asset base in the portfolio and increases in the amount of renewable power produced.
BII also made £499 million of gender finance commitments in 2024 and £880m of commitments to the poorer and most fragile countries across the regions where it invests.
Chris Chijiutomi, Managing Director and Head of Africa at BII, added: “BII is a trusted and long-term partner to African nations and the continent’s world class community of entrepreneurs and business leaders. Our 2024 investment performance demonstrates our unwavering commitment to supporting African companies at a time when investment to create quality jobs, reduce aid dependency and meet the challenge of the climate emergency has never been more vital.”
Introducing the 2024 Annual Review, Diana Layfield, Chair of BII, said: “In a constrained financial environment, BII’s ability to put capital to work repeatedly to secure development impact, while also delivering a financial return for the UK taxpayer, is particularly valuable. In an increasingly unpredictable geopolitical environment, our investments – which support emerging economies to grow, create jobs, and develop sustainable infrastructure to mitigate climate change and its impacts are critically important.”
British International Investment is the UK’s development finance institution and impact investor. The organisation invests in businesses in developing countries to improve people’s lives and help protect the planet. BII’s work targets the underlying causes of poverty and the climate crisis, helping countries break free from aid dependency for good. Between 2022-2026, at least 30 per cent of BII’s total new commitments by value will be in climate finance. BII is also a founding member of the 2X Challenge which has raised over $33.6 billion to empower women’s economic development. The company has investments in over 1,600 businesses across 70 countries and total net assets of £9.87 billion. For more information, visit: www.bii.co.uk | watch here. Follow British International Investment on LinkedIn, Bluesky and X.