The African Development Bank has approved a line of credit of €70million and an equity investment of US$24million to be granted the West African Development Bank.

The line of credit will support businesses in the West African Economic and Monetary Union – particularly in job-creating sectors such as agribusiness, renewable energy, health, and information and telecommunication, which were drastically affected by the COVID-19 pandemic.

The €70million forms part of a €150million facility that will be co-financed by Cassa Depositi e Prestiti (€60million) and FINDEV (€20million). The US$24million equity investment is part of a capital increase transaction, which will allow the African Development Bank to increase its shareholding from 0.55% to 1% – and therefore retain its seat on the Board of Directors of the West African Development Bank.

In addition, the African Development Bank will assist the West African Development Bank through funding from the Women Entrepreneurs Finance Initiative (We-Fi) to set up a technical assistance programme for mainstreaming gender aspects in its project review process, and to promote women’s entrepreneurship. The project should help to create or consolidate at least 5,900 jobs (including 2,000 for women).

The facility is strongly aligned with three of the Bank’s High 5 strategic priorities: namely Feed Africa, Industrialize Africa and Improve the quality of life of Africans.