Catalysing Impact: WeLight Madagascar Raises €7.5 Million Local Currency Facility from BNI Madagascar
ElectriFI-backed mini-grid pioneer advances rural electrification with landmark refinancing, boosting local ownership and development impact
WeLight Madagascar has secured a landmark refinancing facility of 37.5 billion Ariary (approximately €7.5 million) from BNI Madagascar, the country’s leading banking network, marking a significant milestone for rural electrification and sustainable infrastructure in Madagascar. This agreement allows WeLight to convert a portion of its existing foreign currency debt into local currency, reducing exposure to exchange rate risks and strengthening the company’s financial sustainability as it continues to expand its clean energy operations.
The partnership builds on a previous fundraising round in 2023, when ElectriFI, the European Investment Bank, and Triodos Bank supported WeLight’s expansion with €19 million in financing. This early investment was catalytic: it enabled WeLight to rapidly scale its mini-grid operations, now present in 172 villages across 16 regions, delivering until now 40,000 connections and supporting more than 5,500 small businesses and 10,000 jobs. The company’s impact is planned to extend to nearly 75,000 connections, 8,000 small businesses, and 15,000 jobs, , with measurable improvements in local economies, education outcomes, and health services.
This local currency financing is particularly important given that millions of people in Madagascar, especially in remote areas, remain without reliable power, which limits opportunities for education, healthcare, and economic growth. Inflation and currency fluctuations are persistent challenges, making local currency financing essential for the long-term viability of infrastructure projects.
The involvement of a major local bank like BNI Madagascar is a strong signal for the sector. As WeLight’s CEO, Romain de Villeneuve, notes, “The involvement of local banks is essential to achieving the Malagasy government’s electrification targets and the ambitions of the M300 Compact. The commitment of BNI Madagascar sets a strong precedent for sustainable, locally anchored energy access financing”.” The bank’s CEO, Alexandre Mey, emphasizes the human and environmental impact of the investment, citing the example of Mahambo, where three years after electrification, the community saw a 35% increase in exam success rates, the creation of dozens of new businesses, and significant job growth.
ElectriFI’s early support for WeLight was instrumental in establishing the company’s credibility and track record, paving the way for this type of local commercial financing. This transaction sets a positive precedent for how international and local capital can work together to scale impact, foster local ownership, and drive sustainable development in Madagascar’s energy sector.
WeLight’s continued expansion is transforming access to clean, reliable energy and it is also catalyzing broader socio-economic development in Madagascar’s rural communities. The company’s model—combining technological innovation, strong local partnerships, and a commitment to social and environmental standards—serves as a blueprint for sustainable rural electrification across Sub-Saharan Africa.
