The board of directors of the African Development Bank (AfDB) has approved a $10 billion equity investment in the Technology and Innovation in Developing Economies I (TIDE I) which aims to boost ICT-driven growth and production in Africa.

With a target size of $100 million, TIDE I is a global capital-risk fund that focuses mainly on technology services and innovation across Sub-Saharan Africa.

Incorporated in Mauritius, the fund has a 10-year target life within a 5-year investment period. It will “invest in companies that leverage on new technology to dramatically lower the cost of services ranging from agribusiness to financial services, energy, education and healthcare, expanding access to these services by households and enterprises,” says AfDB’s statement. The bank added that it will invest mainly in Nigeria, Kenya, Ghana, Ethiopia, Rwanda and Zambia.

According to the institution, TIDE I is a tool to support the growth of an ecosystem which facilitates the development of new technologies and new companies using technologies that lower the cost of primary services like health and education for people with low incomes. The $10 million investment approved by the AfDB falls under its 2013-2022 strategy aiming to improve the living standards of Africa populations.

Muriel Edjo