Lomé, March 30, 2021- The African Development Bank (AfDB) and the West African Development Bank (BOAD) signed a memorandum of understanding on January 1.er March, a memorandum of understanding defining a strategic partnership framework for co-financing the preparation of regional public-private partnership (PPP) infrastructure projects in Africa, involving at least one WAEMU member state.
The two institutions were represented respectively by Solomon Quaynor, Vice-President in charge of Private Sector, Infrastructure and Industrialization at the AfDB, and Serge Ekue, President of the BOAD.
As part of this strategic partnership, the AfDB will draw on its Special Fund of the New Partnership for Africa’s Development Infrastructure Project Preparation Facility (NEPAD-IPPF). For its part, BOAD will be supported by its Regional Public-Private Partnership Project Development Unit (URDPPP).
The two institutions intend to cooperate to increase the availability of viable regional infrastructure projects in transport, energy, water and information and communication technologies.
The memorandum of understanding, signed for a period of five (05) years, covers the identification, selection and prioritization of potential regional PPP infrastructure projects, feasibility studies and transaction structuring and support. To this end, the two institutions will jointly draw up a list of projects eligible for co-financing, and agree on the project components to be financed, the framework and supervision of the studies, and the terms of disbursement. For the effective implementation of projects, programs and activities related to their areas of cooperation, the two parties will cooperate through a range of mechanisms.
At the end of the partnership, several results are expected. This involves drawing up a list of regional projects suitable for joint development under the PPP model. co-financing, each year, of preparation activities for at least two (02) PPP infrastructure projects, drawn from the list of selected regional projects capacity building for at least two selected project promoters or implementing agencies and creation and joint management of a database on the financing of PPP infrastructure projects in West Africa. To this end, the AfDB and BOAD agree to work in synergy to achieve the objectives of the memorandum of understanding.
This partnership will help the two institutions and the countries of the West African Economic and Monetary Union (UEMOA) to rapidly build up a strong pipeline of prepared, bankable and high-quality regional infrastructure projects, as part of the region’s post-Covid-19 infrastructure investment revival. As a result, it will help accelerate the mobilization of much-needed infrastructure investment to bridge the financing gap that will widen as a result of the negative impacts of the pandemic.
Relations between the African Development Bank and the West African Development Bank are governed by a cooperation agreement signed in Abidjan on February 21, 1978. The African Development Bank is also a shareholder and member of the BOAD Board of Directors.
About the African Development Bank Group
The African Development Bank (AfDB) Group is the leading multilateral financing institution dedicated to Africa’s development. It comprises three separate entities: the African Development Bank (AfDB), the African Development Fund (ADF) and the Nigeria Trust Fund (NTF). The AfDB is present on the ground in 44 African countries, with a field office in Japan, and contributes to the economic development and social progress of its 54 regional member states. The main rating agencies, Moody’s, Standard & Poor’s, Fitch and the Japanese Rating Agency, have awarded the Bank an AAA rating. For further information: j.mp/AfDB_Media
About West African Development Bank
The West African Development Bank (BOAD) is the joint development finance institution of the member states of the West African Economic and Monetary Union (WAEMU). According to Article 2 of its Articles of Association, the BOAD’s purpose is to “promote the balanced development of member states and achieve economic integration in West Africa” by financing priority development projects. It is accredited with the three climate finance mechanisms (GEF, AF, GCF). Since 2009, BOAD has been an observer at the UNFCCC and has played an active role in discussions concerning the construction of an international architecture for climate finance. Since January 2013, it has been home to the first Regional Collaboration Center (CRC) on the Clean Development Mechanism (CDM), whose aim is to provide direct support to governments, NGOs and the private sector in identifying and developing CDM projects. It is committed to carbon neutrality by 2023. For further information: www.boad.org
Media contacts :
African Development Bank
Amba Mpoke-Bigg, Communication and External Relations Department,
email : a.mpokebigg@afdb.org
West African Development Bank
Communications, marketing, public relations and knowledge department,
Tel : + 228 22 23 25 65
Fax : + 228 22 23 24 38
Email : boadsiege@boad.org