Strategic collaboration aims to combine Hyundai’s technology and business capabilities with AfDB’s development financing to support Africa’s energy transition, industrial growth and competitiveness.
Seoul, South Korea – September 9, 2026: Hyundai Motor Group and the African Development Bank (AfDB) have signed a Letter of Intent (LOI) establishing a framework for long-term strategic cooperation aimed at supporting sustainable development, industrial growth and economic competitiveness across Africa.
The agreement, signed at Hyundai Motor Group’s headquarters in Seoul, brings together the Group’s technological and operational capabilities in mobility, energy, infrastructure and industrial development with AfDB’s development financing, investment mobilisation and business development expertise.
The partnership is intended to help identify and advance tangible investment opportunities across Africa, with both organisations working to create frameworks that can connect private-sector innovation with development financing and accelerate the implementation of projects with long-term economic and social impact.
The LOI ceremony was attended by Jaehoon Chang, Vice Chair of Hyundai Motor Group, alongside Woo Jeong Joo, President of Hyundai Engineering Co., Ltd.; Hyung-Jin Chung, President of Hyundai Capital; Heung Soo Kim, Head of the Global Strategy Office at Hyundai Motor Group; Ilbum Kim, Head of the Chief Networking Office; and Yongseok Shin, Head of the HMG Business Intelligent Institute.
The AfDB delegation was led by Kevin Chika Urama, Chief Economist and Vice President for Economic Governance & Knowledge Management, representing Dr. Sidi Ould Tah, President of the African Development Bank Group, alongside Max Magor Ndiaye, Senior Director of Syndications, Co-financing and Client Solutions.
“This partnership marks the starting point of a long-term collaboration to support Africa’s energy transition and strengthen industrial competitiveness. Establishing the Blended Finance Package that links policy financing with private capital while securing investment stability is essential to enable the successful execution of our core African business initiatives. We will continue to expand our cooperation with the African Development Bank,” said Jaehoon Chang, Vice Chair of Hyundai Motor Group.
The African Development Bank is a multilateral development financing institution focused on supporting sustainable economic and industrial development across the continent through development financing, investment mobilisation and business development capabilities.
“We acknowledge Hyundai as a strategic partner whose experience, technological capabilities, and long-term vision are closely aligned with the African Development Bank’s vision of unlocking Africa’s potential and transforming it into a continent of prosperity for all,” said Kevin Chika Urama, Chief Economist and Vice President for Economic Governance & Knowledge Management.
Six Strategic Areas of Collaboration
As part of the agreement, Hyundai Motor Group and AfDB have identified six areas for medium- to long-term cooperation.
Clean Energy Transition: The partnership will explore initiatives supporting Africa’s transition to cleaner energy, including potential green hydrogen development projects.
Sustainable Mobility Solutions: Both organisations will work toward developing sustainable mobility solutions that can be adapted to local conditions and contribute to the growth of mobility ecosystems across African markets.
Transport and Logistics Infrastructure: Cooperation will include opportunities involving road, railway and port infrastructure, supporting improved connectivity and more efficient movement of people and goods.
Electric Vehicle Value Chain Development: Hyundai and AfDB will explore ways to build comprehensive EV value chains across Africa, including opportunities linked to the continent’s critical mineral resources.
Industrial Capacity and Manufacturing: The partnership aims to strengthen local manufacturing capabilities, support industrial capacity building and enhance competitiveness within African markets.
Talent Development: Both organisations will also focus on developing skills and talent needed to support the continent’s future mobility, energy and industrial sectors.
Combining Technology and Development Finance
The partnership is built around the complementary strengths of the two organisations. Hyundai Motor Group will contribute its operational and technological expertise across mobility, energy, infrastructure and industrial development, while AfDB will provide development financing and investment mobilisation capabilities.
Together, the organisations plan to identify concrete investment opportunities and establish sector-specific implementation frameworks. The objective is to develop investment structures that can reduce project risks, attract additional private capital and accelerate the execution of strategically important projects.
Both parties recognise that Africa’s long-term growth will require stronger connections between technological innovation, industrial investment and development finance. By bringing these capabilities together, the partnership seeks to create a foundation for projects that can support economic growth while advancing the continent’s energy and mobility transitions.
Exploring Hyundai’s Future Technologies
Following the signing ceremony, representatives from Hyundai Motor Group and AfDB held detailed discussions on Africa’s development financing environment, industrial challenges and sector-specific priorities. The discussions also covered medium- and long-term cooperation strategies and potential areas for further collaboration.
The AfDB delegation subsequently toured Hyundai Motor Group’s Yangjae headquarters, where members observed demonstrations of the Group’s future mobility and robotics technologies, including Robotics LAB Security X Spot and DAL-e robots.
The demonstrations offered the delegation a closer look at Hyundai Motor Group’s work in robotics and autonomous systems and its broader vision of integrated technology ecosystems designed to enhance human experiences while contributing to sustainable industrial development.
The new Letter of Intent establishes a foundation for Hyundai Motor Group and the African Development Bank to deepen their cooperation over the coming years. By combining Hyundai’s technological and industrial capabilities with AfDB’s development financing and investment mobilisation expertise, the partnership aims to support practical projects that contribute to Africa’s energy transition, industrial capacity, sustainable mobility and long-term competitiveness.
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