The African Development Bank (AfDB) and the African Insurance Agency for Trade (ATI) announce the signing of a US $ 500 million credit insurance contract structured to cover part of the portfolio. non-sovereign operations of the Bank in Africa.
This transaction covers approximately 22% of the $ 2.3 billion of the Bank’s non-sovereign commitment portfolio. The Pan African Bank thus covers itself against non-payment of loans from about 30 financial institutions. Which, in principle, should release enough capital to create nearly US $ 500 million of leeway for the new loan.
While ATI will be the direct insurer of the African Development Bank, this transaction involves the participation of a number of private companies of Lloyd’s & Company. This vehicle will allow many insurance companies operating outside Africa to participate in the financing of development in Africa for the first time.
