Germany’s State-owned financier, KfW Development Bank, has acquired a stake in African Trade & Investment Development Insurance (ATIDI), marking a significant step in Berlin’s push to deepen trade and investment ties with Africa.
The move sees KfW become the 13th institutional shareholder in ATIDI after investing US$32 million, strengthening the continent’s leading development insurer and expanding its capacity to underwrite trade and investment risks across African markets.
The share subscription agreement was signed in Nairobi during a meeting between ATIDI chief executive Manuel Moses and Germany’s Federal Minister for Economic Cooperation and Development Reem Alabali Radovan on Tuesday.
The investment is expected to catalyse up to US$500 million in trade and investment flows between German companies and African economies, providing stronger risk-mitigation tools that can unlock private sector capital for major development projects.
Under the deal, KfW becomes a D2-class shareholder — a category reserved for export credit agencies and non-African public entities. Of the total investment, US$18,4 million comes from the budget of Germany’s Federal Ministry for Economic Cooperation and Development, while US$13,6 million is financed directly from KfW’s own resources.
The new stake also gives the German development bank representation in ATIDI’s governance and decision-making structures, allowing Berlin to play a more direct role in shaping strategies aimed at boosting European investment into Africa.
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The equity investment deepens a long-standing relationship between the two institutions. Over the years, KfW has channelled more than US$100 million to support the membership of several African countries in ATIDI, helping strengthen the insurer’s capital base and expand its ability to mitigate political and commercial risks that often deter investors.
Founded in 1948, KfW is one of the world’s largest development financiers and plays a central role in Germany’s international development cooperation. The bank funds projects in sectors such as infrastructure, renewable energy, sustainability, and small business development across emerging economies.
Meanwhile, ATIDI has grown over the past 25 years into Africa’s premier development insurer, providing credit and investment insurance designed to de-risk projects and unlock financing.
The institution works closely with global and regional partners, including the African Union, World Bank Group, Common Market for Eastern and Southern Africa, European Investment Bank and the Norwegian Agency for Development Cooperation to support investment across the continent.
ATIDI chief executive Moses described the development as a milestone that strengthens the organisation’s global partnerships.
“This milestone is iconic in many ways. It elevates our already dynamic bond with KfW and creates more opportunities for German investors looking to engage in Africa,” he said.
“It also underscores the power of partnerships in a global context increasingly marked by volatility and uncertainty.”
Moses said the partnership is also a recognition of ATIDI’s earned status as “Africa’s top development insurer and the acknowledgement of the soundness of our business”.
KfW executive board member Christiane Laibach said the move would help expand opportunities for European investors while supporting Africa’s economic transformation.
“Together, we intend to enhance business opportunities for European and German investors in Africa to create prosperity and development for mutual benefit,” Laibach said.
The partnership is expected to strengthen financial bridges between Europe and Africa, combining KfW’s global development finance expertise with ATIDI’s regional risk intelligence to unlock investment in strategic sectors across the continent.