U.S.$ 30 Million AfDB Line of Credit to Shelter-Afrique

19 February 2009
Content from a Premium Partner
African Development Bank (Abidjan)
press release

The Board of Directors of the African Development Bank Group (AfDB) has approved a USD 30 Million Line of Credit and a USD 7.5 Million equity investment to Shelter-Afrique.

The LOC will be used for on-lending to private real estate developers and housing finance companies to finance housing projects and related infrastructure services. The equity investment will strengthen Shelter-Afrique's capital base. In addition, a Technical assistance grant of USD 0.95 million will be provided by the ADB-managed Fund for African Private Sector Assistance (FAPA), a trust fund established by contributions from the Government of Japan to finance capacity building activities.

Shelter-Afrique is a pan-African housing finance and development institution established in 1981 by African governments, the AfDB, Africa-Reinsurance Co. and Commonwealth Development Corporation Group (CDC), to mobilize funds and support provision of sustainable housing in Africa.

The Bank's updated private sector operations strategy calls for closer collaboration with development partners in order to deepen the impact of the Bank's private sector operations. In particular, the strategy seeks to reach out to SMEs that cannot access AfDB resources directly. AfDB's support to these DFIs helps to unlock their full potential and maximize synergies that have so far been partially exploited.

This investment complements those of other development partners working with Shelter-Afrique to address the housing problems on the continent. Through this partnership, the AfDB will be able to increase its development impact on the continent by supporting sustainable provision of housing, creating jobs, developing local financial systems, transfer of technology, developing Africa's private sector and enhancing regional integration.

Tagged:
Copyright © 2009 African Development Bank. All rights reserved. Distributed by AllAfrica Global Media (allAfrica.com). To contact the copyright holder directly for corrections — or for permission to republish or make other authorized use of this material, click here.

AllAfrica publishes around 600 reports a day from more than 110 news organizations and over 500 other institutions and individuals, representing a diversity of positions on every topic. We publish news and views ranging from vigorous opponents of governments to government publications and spokespersons. Publishers named above each report are responsible for their own content, which AllAfrica does not have the legal right to edit or correct.

Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica. To address comments or complaints, please Contact us.