afrol News - AfDB, African countries sign financing deals

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Africa
Politics | Economy - Development | Agriculture - Nutrition

AfDB, African countries sign financing deals

afrol News, 16 May - The African Development Bank (AfDB) Group has ended its annual general meeting in the Mozambican capital Maputo. The bank had signed several financing agreements with its regional member countries.

The AfDB and and the Eastern and Southern Africa Trade and Development Bank (PTA Bank) had signed agreements for a line of credit of US $50 million and a payable Equity Capital increase of US $6.8 million. A callable US $40.8 million investment was also agreed for the regional development bank.

The support to the PTA Bank also includes a US $1 million grant for institutional capacity building provided by the AfDB-managed Fund for African Private Sector Assistance (FAPA), a trust fund established by contributions from the Japanese government.

The agreements were among several loan and grant agreements of over US $300 million signed on the sidelines of the two-day meetings that ended on Thursday.

They were signed by the Vice President in charge of the Private Sector, Infrastructure and Regional Integration of the AfDB Group, Mandla Gantsho, and PTA Bank President, Michael Gondwe.

Uganda signed a loan and grant agreements with a combined value of US $93 million for a road support project. Ghana also endorsed a similar document amounting to US $12.89 million to finance a Gender Responsive Skills and Community Development Project.

A loan agreement of US $65 million for an African Development Fund-assisted Rural Water and Sanitation Programme was signed by Nigeria. States of Osun and Yobe will benefit the projects.

Seychelles signed an agreement for a grant of US $1.47 million from the African Water Facility Special Fund to improve water supply in the three main islands of Seychelles – Mahe, Praslin and La Digue. Burkina Faso also signed an agreement for a grant of US $989,000 to finance a sanitation feasibility study in towns on the outskirts of the capital Ouagadougou.

Botswana signed a US $763,000 technical assistance grant to finance the country’s agricultural sector review programme while Chad and the African Water Facility signed an agreement for a grant of US $724,000 to finance the preparation of an inventory of the country’s needs regarding water and sanitation programmes.

The bank group admitted Turkey as its 26th non-regional member and signed an agreement to extend the Nigerian Trust Fund, the second concessional loan window group.