On 26th September 2021, the 2nd China-Africa Economic and Trade Expo was held in Changsha, China, during which China Africa Development Fund (CADFUND) and Cosin Solar Technology Co., Ltd.(Cosin Solar) had signed the Strategic Cooperation Agreement at the Forum on China-Africa Industry Chain Cooperation. Both parties agree to make full use of their respective advantages in an all-round way to jointly explore the renewable energy market in Africa by using concentrated Solar Power (CSP) technology. The agreement is also the only strategic cooperation agreement that was signed at this forum.
Mr. Song Lei, Chairman of CADFUND, and Mr. Xu Neng, President of Cosin Solar signed the agreement on behalf of both parties.
Song delivered that with the long-term pursuance to promote the green economy in Africa, CADFUND is willing to join hands with Cosin Solar to achieve long-term sustainable development in Africa through green investment and finance in the renewable energy sector.
CSP is the cleanest power generation technology with the advanced, long-lasting, big capacity and cost-effective storage system, which can play as a power source with an extensive and flexible dispatchability to accommodate more wind and solar energy in the power system that could properly meet the actual demand of the power system in Africa. Aiming to provide high-quality, low-cost green energy, COSIN SOLAR will give full play to its leading advantages in technology, equipment, construction, and operation in the field of CSP development, and is willing to push for the early entry into a project partnership under the pragmatic cooperation with the CADFUND to deepen the promotion and application of the renewable energy project with CSP technology in Africa, Xu Said.
Introduction of CADFUND
The establishment of CADFUND is one of the important measures announced by the government of the People’s Republic of China at the Beijing Summit of the Forum on China-Africa Cooperation in 2006. It is also China's first equity fund focusing on investment in Africa, aiming at boosting Africa's industrialization process and enhancing Africa's sustainable development capacity through investment. CADFUND was officially launched in June 2007 and undertaken by China Development Bank (CDB), With a capital amount of 10 billion US dollars.
CADFUND aims to promote Africa's economic development and industrialization, reduce poverty, improve African peoples’ livelihood, enhance Africa's capacity for sustainable development, and build a tightly-knit "community of shared future for all mankind" through market-oriented investment.
Through equity and quasi-equity investments, investment fund, investment management & consulting services, and other methods, CADFUND has been
i. helping Chinese enterprises to obtain the capital needed for investment in Africa and share their risks of investing in Africa.
ii. Serving as a bridge, CADFUND looks for sustainable projects in Africa for Chinese enterprises to invest in and Chinese partners for African enterprises and projects.
Since its establishment 14 years ago, the CADFUND has invested in more than 90 projects in 37 countries in Africa.