FEDA Invests $75 Million in Spiro to Supercharge Africa’s Electric Mobility Revolution
The Fund for Export Development in Africa (FEDA), the development equity investment arm of the African Export-Import Bank (Afreximbank), has announced a landmark $75 million strategic investment in Spiro. This major financial injection is set to accelerate the expansion of Africa’s leading electric two-wheeler assembler and its continent-wide battery swapping network.
Powering a Continental Shift
Founded in 2022, Spiro has rapidly become a dominant force in Africa’s emerging electric mobility sector. The company currently manages a fleet of over 60,000 electric motorcycles and maintains a network of more than 1,200 battery swapping stations. Its innovative business model is specifically engineered to hasten the transition away from polluting, fossil fuel-dependent transport towards cleaner, more cost-effective electric alternatives.
This initiative is not just about swapping engines; it’s about fundamentally reimagining how millions of Africans move. By making transportation more affordable and reliable, Spiro is addressing a critical daily challenge for commuters and businesses alike.
A Strategic Pillar for Industrial Growth
The investment is a cornerstone of Afreximbank’s broader automotive strategy, which focuses on cultivating integrated manufacturing ecosystems, facilitating technology transfer, and bolstering local industrial capacity across Africa. It also provides crucial support for pro-electric vehicle policies emerging in key African markets, creating a fertile environment for sustainable mobility solutions to take root and flourish.
Dr. George Elombi, President of Afreximbank and Chairman of FEDA, emphasized the transformative potential of the partnership. “This collaboration lays the groundwork for a new era of intra-African trade and industrialization,” he stated. “By stimulating local vehicle manufacturing, we are strengthening regional integration, enhancing trade flows, and, most importantly, creating meaningful employment. This initiative fosters essential skills and technology transfer while systematically reducing Africa’s heavy reliance on imported second-hand vehicles.”
Accelerating Expansion and Innovation
Gagan Gupta, Founder of Spiro, welcomed FEDA as a pivotal strategic investor. He explained that the substantial funding will be channeled into three key areas: accelerating the company’s expansion into new markets, significantly scaling up its proprietary battery swapping infrastructure, and integrating renewable energy sources directly into its operations.
“Spiro is uniquely positioned to transform not just mobility, but also energy storage and distribution across Africa,” Gupta remarked, highlighting the company’s multifaceted approach to tackling some of the continent’s most pressing development challenges.
Responding to Market Demand
Marlene Ngoyi, CEO of FEDA, pointed to overwhelming market forces as a primary driver behind the investment. “The decision reflects the powerful and growing demand for sustainable and affordable mobility solutions from Cape to Cairo,” she said. “Spiro’s rapid growth and impressive market adoption are a clear demonstration of both the commercial viability and the profound social impact of its integrated, forward-thinking approach.”
Collectively, the companies assert that this $75 million investment marks a significant milestone in Africa’s journey toward a cleaner transport future. It is a concrete step that supports the development of a homegrown electric vehicle manufacturing industry, reduces harmful urban emissions, and champions greater energy efficiency for generations to come.
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