By: African mining market

A new African-led financial institution is being established to ensure the continent captures a greater share of the value from its own mineral wealth. The Africans for Africa Initiative (AFA) has appointed Launch Africa Capital Manager to run the AFA Fund, a Pan-African investment platform targeting an initial $100 million. The fund's core, non-negotiable principle is that a minimum of 51% of benefits from any mining project it invests in must demonstrably accrue to Africans and their local communities.

The initiative addresses a long-standing paradox: while Africa sits at the center of the global race for critical minerals, it has historically retained only a fraction of the value they generate. The AFA Fund is designed as a specialist, mineral-agnostic vehicle to channel African, diaspora, and international capital into resource projects. Its goal is to reshape how mining is financed and developed, placing African interests at the center of value creation.

The appointment of Launch Africa Capital Manager provides the fund with crucial execution capabilities. The manager brings a proven track record, with 164 investments across 25 African countries, and the ability to mobilize capital at scale. This partnership combines a mission-driven resource strategy with a proven Pan-African capital allocator, creating the institutional architecture needed for professional governance and deployment.

The timing of the fund is strategic, coinciding with skyrocketing global demand for the critical minerals Africa possesses in abundance. Concurrent trends, including tighter local content policies from African governments and growing pools of diaspora capital, create an ideal environment for AFA’s model. The fund aims to provide a trusted platform for this capital to partner with global operators, enhancing project bankability while ensuring local benefit.

To demonstrate immediate traction, the AFA has already secured its first investment: a $10 million commitment to a gold tailings reprocessing venture in Ghana. This project exemplifies the fund's model by focusing on a near-production asset that reduces environmental impact, generates rapid cash flow, and delivers clear community-level benefits.

By building a long-term institution rather than a short-cycle fund, the AFA aims to become a cornerstone of African resource development. It positions itself as a vital partner in ensuring that the continent's mineral wealth finally drives sustainable development and broad-based prosperity for its people.