African electric vehicle (EV) company Spiro has signed a $50 million debt financing agreement with Afreximbank, a pan-African multilateral financial institution, to accelerate its expansion into Cameroon and Morocco this year.

The funds will be used to bolster Spiro’s network of automated battery swapping stations and introduce new electric motorcycle models, as stated on Afreximbank’s website. This move aims to make eco-friendly transportation solutions more accessible and convenient across the continent.

“This debt facility will significantly enhance Spiro’s operational capabilities and support our expansion into new African markets,” said Kaushik Burman, CEO of Spiro.

Afreximbank’s Executive Vice President, Intra-African Trade and Export Development Bank, Kanayo Awani, expressed the bank’s enthusiasm for the partnership. “We are delighted to support Spiro through this facility. This collaboration will accelerate the adoption of electric vehicles and improve transportation across Africa. It reinforces our belief in the power of innovation to drive a sustainable future,” Awani said.

This development follows Spiro’s partnership with Max, a startup focused on democratizing vehicle ownership, announced last month. The collaboration aims to propel EV adoption and promote sustainable transportation solutions throughout Africa.

Currently, Spiro boasts a fleet exceeding 14,000 electric vehicles and operates in six African countries — Nigeria, Ghana, Kenya, Uganda, Togo, and Benin. The company envisions creating a comprehensive EV ecosystem in Africa to minimize environmental impact while improving urban mobility.

This ecosystem will involve collaboration with various stakeholders and the development of a robust charging infrastructure, encompassing both battery swapping and direct charging options. Notably, in February 2024, Spiro partnered with the Ogun State government in Nigeria to establish electric motorcycle battery swapping stations. Additionally, in August 2023, the company secured a $63 million loan from GuarantCo (a Private Infrastructure Development Group company) and Société Générale, a French bank, to expand its electric motorcycle fleet, batteries, and swapping stations in Benin and Togo.