Our investment
Description of the investment.
Description of the investment.
We have committed US$25m to a new segregated trade finance fund managed by London Forfaiting Company (LFC), a London-based non-bank financial intermediation (NBFI) specialising in trade support across emerging markets. This investment will increase the availability of trade finance for businesses in Africa, particularly in markets with limited access to US dollar funding.
Impact information
Applies to investments made from 2019 onwards. The tabs in this section define what we expect to achieve through the investment, assessing the potential impact of the investment against six dimensions of impact. You can find more details on our methodology of assessing impact here.
Applies to investments made from 2019 onwards. The tabs in this section define what we expect to achieve through the investment, assessing the potential impact of the investment against six dimensions of impact. You can find more details on our methodology of assessing impact here.
What?
| Impact |
|---|
Improved economic opportunities through increasing the availability of trade finance for imports (SDG 8.1, 8.3, 8.10). Improved food security through enabling imports of soft commodities (SDG 2.1 and 2.3). |
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How?
| How? |
|---|
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Economic enabler: This investment will enable London Forfaiting Company (LFC) to extend more trade finance to businesses in Africa, allowing them to import larger volumes of equipment (such as trucks, buses, and telecom equipment) and soft commodities (such as rice and wheat). |
Who?
| Stakeholder | Geography | Characteristics |
|---|---|---|
| Employees of importers |
Smaller markets in Africa |
No visibility on stakeholders but expected to include workers in a variety of industries. |
| Customers |
No visibility on end customers, but for the import of soft commodities, we assume mass market characteristics and demographics of the respective countries. |
How much?
| Scale | Depth/Duration |
|---|---|
|
The $25m is expected to enable approximately $40m in trade volumes per annum. |
Depth: Limited visibility on depth of impact on stakeholders. Expected to be deep given that lack of access to trade finance in these countries. Duration: This will be a revolving facility and the impact will last for as long as it remains in existence. |
Contribution/additionality
| Contribution/additionality |
|---|
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Our contribution is rated as High due to the strong financial additionality, both at the market and fund level. There continues to be a large trade finance gap in Africa, especially in the least developed countries. We will solely fund this segregated account and enable a faster scale-up in the target countries which is unlikely to happen otherwise. We also expect to improve standards through E&S and business integrity related support. |
Risk
Evidence RiskRisk that there is limited visibility on the ultimate impact on stakeholder. Execution RiskRisk that LFC may not be able to source sufficient pipeline and/or scale in a sustainable manner. |
Impact score
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Impact score (at point of investment)
The Impact Score is a tool to help us manage our performance against our strategic impact objectives. It is designed to incentivise investments that support our productive, sustainable, and inclusive objectives. The Impact Score shown is based on the 2022-2026 Impact Score methodology. You can find out more here. The Impact Score is published for investments made from 2022 onwards. The Impact Scores are calculated at the point of investment. We publish the Impact Scores of new investments annually, once the information has been externally assured by an independent third party. |
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6 |
Environmental and social information
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Environmental and social summary
A high-level description of the environmental and social aspects of the investment. This may include a summary of key environmental and social risks identified during environmental and social due diligence (ESDD); key elements of an environmental and social action plan (ESAP); or ways in which we plan to support the investee improve environmental and social standards, such as through their environmental and social management system (ESMS); as well as any other priority areas agreed with the investee.
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Environmental and social risk
A risk category rating, which indicates the level of environmental and social risk associated with an investment. For an explanation of the categorisations used, see here. We consistently provide an environmental and social risk category for all investments screened from 2023 onwards.
Environmental and social summary
We agreed on an ESAP focused on ensuring the Fund Manager develops E&S screening procedures for trade transactions, develops an External Grievance Mechanism and updates their HR Policy in accordance with IFC PS2 on labour and working conditions. The Value Creation Plan includes recommendations to enhance the assessment of E&S risks for higher risk commodities.
Environmental and social risk
Medium-Low
Reporting and Complaints Mechanism
The Reporting and Complaints Mechanism allows anyone outside BII to report alleged breaches of the business integrity or environmental and social provisions of BII’s Policy on Responsible Investing. This includes breaches made by BII, a BII investee, or a portfolio company of a fund in which BII has invested. The Reporting and Complaints Mechanism Rules are available here. Reports and complaints can be submitted by email to [email protected] or by mail. See more details on our Reporting and Complaints Mechanism here.
For any other general enquiries contact us at [email protected]
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Key facts
- First published
:
When the investment was first published on the website database.
- December 2025
- Last updated
:
When the last quarterly update of the website database occurred.
- June 2026
- Project number
:
An identifier number shared by investments in the same project.
- D6867
- Status
:
The current status of the investment (green flag for active and red flag for exited).
- Active
- Region
:
The geographical region where the country is located. We currently invest in Africa, South Asia, South East Asia and the Caribbean. In 2023, BII’s investment mandate was extended allowing it to invest in regional funds linked to Ukraine, with the majority of activity expected to begin post-war. Investments outside these regions were made prior to 2012 under previous investment mandates.
- Africa
- Country
:
The countries where the investment delivers impact. Where impact is delivered in multiple countries, this is indicated.
- Burkina Faso, Guinea, Guinea-Bissau, Mali, Niger, Uganda, Zambia
- Sector
:
We prioritise those sectors that facilitate development and need our capital the most. Our priority sectors contribute towards many of the Sustainable Development Goals. They range from investing in the power infrastructure that will provide people with better access to electricity, to investing in financial institutions that direct capital to the individuals and businesses that need it the most.
- Financial services
- Investment policy :
- Growth
- Investment type :
- Fund
- Start date :
- July 2025
- Amount :
- $25m
- Currency of investment :
- USD
- Fund manager:
- London Forfaiting Company LLC
- Domicile
:
The company or investment fund’s place of incorporation.
- Ireland
We provide capital in the following ways: directly – through direct equity, direct debt, guarantees and other non-intermediated financial instruments; and indirectly – principally through investment funds.
Type of investment portfolio that each investment is made under. Since 2014, we have run two investment portfolios: Catalyst and Growth. In addition, our Kinetic Portfolio enables us to manage concessional investment strategies.
For direct investments and fund investments, this is the date BII committed capital to the investments. This is typically the date on which legal agreements are signed by all parties.
For the portfolio companies of our fund investments, this is the date (either the month or the quarter) on which the fund committed capital to the portfolio company.
For direct equity investments, this is the date at which British International Investment exited the investment.
For debt investments, this is the date at which the final debt repayment was made.
For funds, this is the date at which the fund was terminated.
For underlying fund investments, this is the date at which the fund manager exited the investment.
The total amount committed, per financial instrument, per investment, on the date BII becomes subject to a binding legal obligation to provide funding or assume a contingent liability. This information is provided in US dollars.
For direct investments, this is the amount that BII has committed to the business or project. For fund investments, this is the amount BII has committed to the fund.
The currency in which the investment was made.
- First published
Investments made by this fund into companies:
For further information about these companies, visit https://www.forfaiting.com/
| Investment name | Country | Region | Sector | Fossil Fuel or Renewable Exposure | Start date | Status |
|---|---|---|---|---|---|---|
| Bridge Bank Cote d’Ivoire | Cote d'Ivoire | West Africa | Financial services | December 2025 | Active | |
| Ecobank Guinea SA | Guinea | West Africa | Financial services | December 2025 | Active |
