AfDB provides a BOAD €150M loan facility to support the private sector in WAEMU

Banking

Thursday, 25 November 2021 17:04

AfDB provides a BOAD €150M loan facility to support the private sector in WAEMU

(Togo First) - The West African Development Bank (BOAD) will soon get a €150 million (CFA98 billion) credit facility from the African Development Bank (AfDB). The funds will support the private sector in WAEMU’s eight-member States which are covered by the BOAD. The latter made the announcement last Tuesday after its 126th board meeting.

"This facility aims to support private sector companies in the WAEMU zone across all sectors, with an emphasis on projects related to agriculture, women empowerment and the improvement of people's living conditions,” the BOAD said.

"A minimum of 10% of the resources obtained via this line of credit must be used to finance projects led by women entrepreneurs or benefit women entrepreneurs,” the Lomé-based institution added.

The new loan facility, a significant milestone in the BOAD’s DJOLIBA investment plan, also aims to rebalance support to the public and private sectors. This, in a context where the Bank has mostly backed government-led projects since it was created.

A few days ago, the ECOWAS Bank for Investment and Development - the other regional development bank (also based in Lomé) - secured CFA40 billion from the Bank of Africa (BOA) to support back the private sector. In that case, however, the facility covers all 15 ECOWAS countries.

Ayi Renaud Dossavi

REFORMS OVERVIEW

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