Funds mobilized under the partial credit guarantee will be allocated to green and social projects including climate adaptation, biodiversity preservation, sustainable agriculture, access to clean energy and pollution control
ABIDJAN, Ivory Coast, June 2, 2025/APO Group/ --
The African Development Bank Group (www.AfDB.org) and the Government of Togo have signed a partial credit guarantee agreement to support the country’s mobilization of a sustainable financing facility of €200 million.
Togo's Minister of Economy and Finance Essowè Georges Barcola and AfDB VP Nnenna Nwabufo signed an agreement for a partial credit guarantee to help the country mobilize €200 million
Provided by the African Development Fund, the concessional lending arm of the African Development Bank Group, this partial credit guarantee will enable the government of Togo to leverage its country performance-based allocation by four times to raise €200 million from international commercial lenders including Legal & General (L&G) and Deutsche Bank. The African Development Bank is lead arranger.
Funds mobilized under the partial credit guarantee will be allocated to green and social projects including climate adaptation, biodiversity preservation, sustainable agriculture, access to clean energy and pollution control. This is in line with Togo’s Sustainable Financing Framework as well as the country's 2020–2025 Government Roadmap, which prioritizes inclusive growth and climate-resilient development.
"This innovative operation is the result of the strategic guidance provided by His Excellency Faure Essozimna Gnassingbe, President of the Council, aimed at mobilizing innovative and sustainable financing solutions to support Togo's development program. By securing this 20-year sustainable loan, we are sending a strong signal to international investors about the strength of our economic governance, our financial credibility, and our commitment to developing the country in line with the Sustainable Development Goals," added Essowè Georges Barcola, Minister of Economy and Finance of the Republic of Togo.
"This transaction marks a significant milestone in Togo’s sustainable development journey. By leveraging the Fund’s guarantee products, Togo is not only accessing long-term, affordable capital but also enhancing its visibility among international investors. This operation is strengthening confidence in the country’s credit profile and lays the groundwork for future market-based financing under increasingly favorable conditions,” said Solomon Quaynor, Bank Group Vice President for Private Sector, Infrastructure and Industrialization.
Jake Harper, Senior Investment Manager, Asset Management at L&G said, “Channeling debt financing for sustainable outcomes will generate momentum towards bridging the $4 trillion annual SDG funding gap. L&G is proud to have partnered with the Fund as its first non-bank beneficiary lender, and the Government of Togo to support the sovereign’s crucial growth agenda. We believe these transactions and innovative financing methods are combating the historic risk-return misperception; and demonstrating the compelling investment opportunity for commercial institutional investors to contribute to global sustainable development with investment-grade credit risk.”
“Deutsche Bank is extremely honored to have been selected to work on this landmark inaugural exercise for the Republic of Togo together with our partners at L&G, as well as the African Development Fund, and also Global Sovereign Advisory, Financial Advisors to the country,” said Maryam Khosrowshahi, Deutsche Bank Managing Director, Chair Global Sub-Saharan Africa, Head Sub-Saharan Africa Coverage. “Leveraging our notable track record of similarly structured financings as well as our close engagement with the AFDB/ADF and the authorities, we have been able to deliver long term funding to the country at efficient terms and in support of critical green and social projects under their Sustainable Finance Framework.”
Approval of this sovereign operation comes as the African Development Fund enters the final stages of its 17th replenishment process. The project aligns with the Fund’s intended shift toward directly accessing capital markets.
“This transaction also showcases the innovative use of the ADF guarantee to increase financing volumes available for low-income countries, beyond the traditional performance-based allocations. It marks the first use of the Guarantor-of-Record structure with the ADF sharing a portion of the guarantee exposure with highly rated credit insurance partners,” said Hassatou N’Sele, Bank Group Chief financial Officer and Vice-President.
Distributed by APO Group on behalf of African Development Bank Group (AfDB).
Al-Shabab is nothing but a faithless and ruthless mafia who initially (not now)deceived the vulnerable unsuspecting and less sophisticated Somalis with the usual symbols of Islam- turbans and beads.
They are the worst and most dangerous criminals ever existed not only in the Horn region but in the entire continent of Africa and should, therefore, be treated and dealt with as such and without mercy.
They are the worst disease ever visited that part of the world and every effort should be made to eradicate them.
Btrother Ali
I agree with you Al-Shabab and the new Wahabbism that is taking over both Somalia and Somaliland are evil imports and have no place in our loving, caring, forgiving Islam we had for almost 1500 years. I hate fighting but i say these mosnsters shouldl be fought and defeated at all costs. They are murdering monsters and May Allah bring down his eternal wrath on them. Amen
Sanyare
Al-shabab siday doonaan haw xumaadeene, waxay umadda ka qabteen qoladan WFP marka soomaalida iyo afrikaankaba arkaan inay isku filaasho gaadhayaan, ka soo dul dejiyaan toban markab oo cunto ah.
Bal u fiirsadoo markay abaaruhu jiraan wax uma qabtaan dadka.
Ma xasuusataan Burco wixii ka dhacay sanad ama laba sano ka hor. Dadkii markay cunto heleen ayay ka soo dul dejiyeen sarreen.
According to this news and very few other others AlShabab are doing great, however, most of news are focusing on their negative aspect. To this day Western media and their proxies are against Alshabab. I am in the pinion that this movement needs to be given a time and support ultimately thy will learn. declaring a war will only deepen and shade innocent blood.
Even if they are responsible for this increase in food supply, it is minuscule in scale compared to the chaos, war and havoc they and many other internal and foreign actors have caused. They are not the only responsible group, any friction requires two opposite forces.
The UN and World Trade Organisation's policies, particularly the latter have caused a great deal of hunger across the world – this is not some Al-Shabab propaganda, it is a FACT. Dumping (cheap food imports to thirdworldcountries to boost western farmers) to take one of many examples is just how they cause hunger, poverty and long term dependency.
DO SOME RESEARCH OF YOUR OWN – LOOK AT 'DUMPING'.
you can always buy cheap foods on any supermarket these days because food production is mechanized already ,~`