The Africa Finance Corporation (AFC) has raised 350 million Swiss francs, approximately 431 million USD, through a five-year digital bond, announced the pan-African institution.
The bond carries a coupon of 1.4925%. This is the largest digital issuance ever made on the Swiss franc bond market and the first digital bond in Swiss francs issued by an African institution, according to the AFC.
Approximately 90% of the demand came from Swiss investors and 10% from international accounts. Banks and financial institutions represented 57% of the order book, followed by asset managers (37%) and hedge funds (6%).
The transaction was structured by Commerzbank and Deutsche Bank. The bond is listed on the SIX Swiss Exchange and registered on the SIX Digital Exchange. It is based on a distributed ledger infrastructure (DLT), with ownership recorded on a regulated digital register and settlement made through a digital market infrastructure.
This operation marks the fourth Swiss franc issuance by the AFC and the largest to date. In 2020, the institution raised 150 million Swiss francs with its first green bond.
The AFC, rated A by S&P with a positive outlook and A3 by Moody’s with a stable outlook, stated that the funds will be used for its general financing needs and for financing infrastructure projects in Africa.
In July 2026, the institution also raised 500 million dollars on the international bond market, with a coupon of 5.375%.
