Food Security: AfDB Approves Trade Finance Line of Credit for ECOWAS Bank

Date:

Share:

Food Security: AfDB Approves Trade Finance Line of Credit for ECOWAS Bank

Food Security: AfDB Approves Trade Finance Line of Credit for ECOWAS Bank

The African Development Bank (AfDB) Group and the ECOWAS Bank for Investment and Development (EBID) have signed an agreement for a dual currency line of credit comprising $50 million and €50 million to support local agricultural businesses in West Africa.

Dr. George Agyekum Donkor, President and Chairman of the Board of Directors of EBID, and Solomon Quaynor, African Development Bank Vice President for Private Sector, Infrastructure, and industrialisation, formalised the agreement during a signing ceremony at the African Development Bank’s Abidjan headquarters.

“This credit facility illustrates EBID’s continued efforts to mobilise adequate resources to honour its commitment to the region’s transformation agenda through supporting and investing in key sectors, in this case, the agribusiness industry”, Donkor said.

The African Development Bank’s board of directors approved the dual currency line of credit for EBID early in 2023. The Africa Growing Together Fund, managed by the African Development Bank, will provide an additional $30 million in co-financing. AGTF is sponsored by the People’s Bank of China.

The three-and-a-half-year facility will enable EBID to offer direct financing to commercial banks and local businesses operating in the agriculture and soft commodity sector within its member states.

This aligns with EBID’s strategic aim to support local businesses, particularly small and medium-sized enterprises (SMEs), local business cooperatives, and farmers in West Africa. The credit lines are expected to strengthen food security, economic growth, and employment generation.

Vice President Quaynor said, “This agreement underscores our strong commitment to harnessing the continent’s limited resources to deliver, with speed and at scale, quality investments to help address the ever increasing trade finance gap in Africa while working with strategic regional partners like EBID and – through you – local commercial banks.”

The partnership between EBID and the African Development Bank demonstrates the increasing cooperation among African Development Finance Institutions to bridge trade finance gaps and direct much-needed funds to economically challenged countries and sectors. # AfDB, EBID Sign Loan Agreement to Enhance Food Security Africa Must Achieve Stability, Increase Growth to Avert Lost Decade

Subscribe to our magazine

━ more like this

AFCON 2023 Countdown: Cote d’Ivoire may turn back some Nigerians over travel passports

BY KUNLE SOLAJA. Nigerians holding the ECOWAS Travel Certificates and going for the Africa Cup of Nations next month are certain...

Namibia trainer Benjamin names list of 28 players

Namibia will make its fourth African Cup of Nations appearance Coach Collin Benjamin has called up 28 players The Brave Warriors...

Guinea coach Diawara names 25-man squad for AFCON

Guinea will be making its 13th  African Cup of Nations appearance Coach Kaba Diawara has called up 25 players Syli National...

Mozambique coach Conde announces 23-man squad

Mozambique will make their fifth  African Cup of Nations appearance Coach Chiquinho Condé has called up 23 players The Mambas placed...

Osimhen extends contract with Napoli till 2026

Nigerian international forward Victor Osimhen has signed a contract extension with Napoli until 2026, the Serie A champions announced on Saturday....
spot_img

LEAVE A REPLY

Please enter your comment!
Please enter your name here