Who will finance Africa’s data centres? IFC’s Isiadinso to lead debate

The question of who will finance Africa’s growing need for data centres and cloud infrastructure will take centre stage at an upcoming Africa Hyperscalers Global View session featuring Obinna Isiadinso of the International Finance Corporation.

The virtual conversation, scheduled for March 20, will examine how investors are approaching Africa’s digital infrastructure opportunity as demand for cloud services, artificial intelligence (AI) computing, and digital platforms rises across the continent.

Africa’s digital economy has expanded rapidly over the past decade, supported by new subsea cables, wider fibre networks and rising mobile broadband use. However, the infrastructure needed to store and process the continent’s growing digital activity still remains limited.

Across a population of nearly 1.4 billion people, Africa’s operational data centre capacity is estimated at only a few hundred megawatts of IT load. Most of this capacity is concentrated in a few countries, including Nigeria, South Africa, Kenya and Egypt.

Industry experts say this imbalance means Africa is increasingly connected to the global internet, but much of the computing power that supports its digital services is located outside the continent.

For investors and policymakers, the challenge is shifting from building connectivity networks to mobilising capital and policy frameworks that can support large-scale investment in data centres and cloud infrastructure.

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Isiadinso, who leads global investments in data centres and cloud platforms at the IFC, is expected to discuss how international investors evaluate opportunities in emerging markets and what financing models are beginning to shape the sector.

Before joining the IFC’s telecom, media and technology investment team, he worked as a senior investment officer at IFC Asset Management Company, where he contributed to a $1 billion investment fund covering Africa, Latin America and the Caribbean. He also previously held investment roles at Development Partners International and ARM Capital Partners.

The session will also explore the role of hyperscale cloud providers, energy infrastructure and government policies in determining where digital infrastructure investments flow.

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As global demand for AI and cloud computing accelerates, analysts say Africa’s ability to attract investment into data centres and computing platforms could shape whether the continent becomes a major host of digital services or continues to rely on infrastructure located elsewhere.

For governments, investors and technology companies, the issue is quickly emerging as one of the key economic debates shaping Africa’s digital future.