The Arab Bank for Economic Development in Africa (BADEA) has signed today, February 19th, 2015, in Khartoum, two loan agreements with Burkina Faso and the Republic of Cameroun, totaling US$ 21,30 million. Details as follows:
Burkina Faso:
A loan of US$ 10 million to assist in financing the “Supply of Drinking Water for “Ouagadougou City” – Phase II project.
The objective of the project is to improve and develop water supply services for the capital city "Ouagadougou" and meet the current and future demand for drinking water up to 2022. The project is also expected to minimize the burden of fetching drinking water in the project area, improves health conditions and promote other economic activities, thus contributes to improving living standards and eradicating poverty.
Republic of Cameroun:
The US$ 11.30 million loan extended to the Republic of Cameroun will assist in financing the “Rural Electrification in Three Areas”.
The project aims to contribute to the economic and social development in Cameroun by providing electricity to households, schools, health centers, industrial and agricultural activities in the project area. The project will also help boast industries relating to the processing of agricultural products; thus contributes to improving living standards and eradicating poverty as well as rural- urban migration. Likewise, the project is expected to contribute to preserving environment through reducing the overuse of vegetation as main source of energy.
The two loans are to be reimbursed over a period of 30 years, including a grace period of 10 years and at an annual interest rate of 1%.
The Loan Agreements were signed by H.E. Mr. Abelaziz KHELEF, Director General on behalf of BADEA, H.E. Mr. Jean Gustave Sanon, Minister of Economy and Finance, on behalf of Burkina Faso and H.E. Ambassador Labarang Mohamadou on behalf of the Republic of Cameroun.
By adding these two loans BADEA’s total financings to Burkina Faso and the Republic of Cameroun, reached US$ 374.037 million.
BADEA’s total commitments since 1975 up to September 2014 stood at US$ 4.529,883, for the benefit of 44 Sub-Saharan Africa countries.
