Nairobi, 19 June 2020 – The Eastern and Southern African Trade and Development Bank (TDB) has the pleasure to announce the execution of two new impact-focused long-term financing facilities totalling an initial USD 80 million with two new European funding partners from Italy and Austria.
A 10-year EUR 50 million term loan facility was signed with Cassa Depositi e Prestiti (CDP), Italy’s Development Finance Institution, for on-lending to the private sector – particularly SMEs – located in some TDB Member States, and operating in agribusiness, social infrastructure, health, education, transports and logistics.
Likewise, a 10-year USD 25 million term loan facility was signed with Oesterreichische Entwicklungsbank AG (OeEB), the development bank of the Republic of Austria, to finance projects in various development areas such as renewable energy including hydro, windmills, solar, cogeneration and geothermal projects, energy efficiency in industry, housing, electricity transmission and distribution, as well as infrastructure, in TDB Member States.
Thanks to the Bank’s demonstrated strong track record delivering triple bottom-line impacts in the region, TDB has become a partner of choice in intermediating global and African capital into its operating region. Over the past 7 years, a growing group of European development finance institutions and export credit agencies have committed billions of dollars and euros to TDB, supporting sustainable development, trade and renewable energy. These include EIB, KfW Group, AFD, CDC, and FMO, and notably Denmark’s IFU, which recently joined the membership of TDB as an institutional shareholder. This is in addition to a host of European commercial banks such as Standard Chartered Bank, Commerzbank, Credit Suisse and Société Générale that have been working closely with TDB in the capital and syndicated loan markets for many years.
“We are pleased to broaden, once again, our valued network of European funding partners” says Admassu Tadesse, TDB President and Chief Executive. “With these inaugural CDP and OeEB facilities, we look forward to stepping-up our commitment to support SDG-focused private sector projects in our Member States”.
Minimising interruptions in the flow of hard currency into the region is of paramount importance during periods of global systemic crises such as the Covid-19 pandemic, which has seriously disrupted supply chains and capital markets, among other severe socio-economic shocks and impacts. TDB and its development finance partners are committed to fulfilling their important mandates, especially in these difficult, disrupted times.
Established in 1985, the Eastern and Southern African Trade and Development Bank (TDB) is a multilateral, treaty-based, investment-grade development financial institution, with assets of US$6.7bn. The Bank’s mandate is to finance and foster trade, regional economic integration and sustainable development through trade finance and project and infrastructure finance.
Anne-Marie Iskandar, Senior Communications Officer
Corporate Affairs and Investor Relations
Trade and Development Bank