British International Investment (BII), the UK’s development finance institution, deployed £1.07 billion across Africa in 2025, representing 59% of its total £1.8 billion global investments. The figures, disclosed in BII’s upcoming Annual Review, show that the remaining capital was split between Asia (£712 million) and Ukraine (£40 million). Egypt, Kenya, South Africa, and Nigeria remain BII’s largest markets by portfolio size. Under its newly unveiled institutional strategy, BII announced it will now mandate that at least 25% of all new capital commitments be allocated to UN-designated frontier markets (least developed countries) to drive inclusive grassroots development.
The institution’s annual climate finance exceeded the $1 billion threshold within a single calendar year for the first time, bringing its four-year green energy total to $3.3 billion (£2.6 billion). Notable 2025 projects included the Allianz ACE Fund—a $150 million DFI-anchored blended vehicle designed to leverage $850 million in private capital—as well as Egypt’s Gulf of Suez Wind Farm and Kenya’s electric motorcycle firm, ARC Ride. Additionally, BII launched the £1.1 billion British Climate Partners initiative to mobilize institutional funding into coal-dependent Asian economies. Backed by an active portfolio of nearly 1,700 companies, BII reported a stable seven-year weighted average portfolio return of 3.8%, demonstrating the commercial viability of its long-term impact investing model.
