Sub-Saharan Africa: Surety Bond Markets Are Coming of Age

12 March 2026

Infrastructure Investment and Its Bond Requirements

Sub-Saharan Africa has some of the fastest-growing infrastructure pipelines in the world. From Kenya's standard gauge rail expansion to Nigeria's power sector reform, from Tanzania's port development to South Africa's renewable energy programme, the region is investing at scale in the physical foundations of economic growth.

Construction contracts of the size and duration associated with this investment routinely require performance bonds and advance payment bonds. For contractors working on projects supported by African Development Bank, World Bank, or bilateral development finance — which represents a significant proportion of the pipeline — bonding requirements are non-negotiable and standardised.

A Market Maturing Unevenly

The surety and guarantee landscape across Sub-Saharan Africa is developing, but it is doing so unevenly. South Africa has a relatively developed domestic surety market. Kenya and Nigeria have growing insurance sectors in which surety products are available, though capacity and pricing remain less competitive than in established markets. In smaller economies, the available infrastructure for providing acceptable bonds to international standards is limited.

This unevenness creates a practical challenge for contractors. A bond that is acceptable to an employer funded by the AfDB in one country may need to come from a different type of institution than one procured for a private sector project in a neighbouring market. Understanding the local requirements — and having a route to a guarantor who can meet them — is the first practical challenge any contractor faces.

The Role of International Facilitation

For contractors in Sub-Saharan Africa who cannot access domestic surety capacity at the required level, or for international contractors entering African markets who lack established local bonding relationships, working through an international facilitation platform offers an efficient route to the right guarantor.

Solidum Global works with partners across Sub-Saharan Africa and the international surety market to facilitate access to performance bonds and advance payment bonds for construction projects in the region. Our enquiry process is straightforward and carries no obligation. Submit an enquiry and we will assess whether our network can assist.

Reference: The Insight Partners — Surety Market Size and Forecast: theinsightpartners.com/reports/surety-market

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