View Full Version : Ecowas Bank seeks 1.5 billion dollars from Chinese banks to finance projects

Quaiqu Ananse
11th October 2011, 12:21 PM
EBID seeks 1.5 billion dollars from Chinese banks to finance projects

Ecowas Bank for Investment and Development (EBID) is negotiating with some Chinese banks to raise $1.5 billion to finance infrastructure projects in four French-speaking countries, Mr Bashir Ifo, Acting President of the Bank said on Monday.

"I am delighted to disclose that in consultation with the Chinese banks, about 13 projects in four eligible countries namely Mali, Senegal, Togo and Burkina Faso have so far been identified - the estimated amount involved is $1.5 billion," Mr Ifo said at the opening session of the bank’s governors meeting in Accra.

The Lome-based EBID, owned by the West African regional grouping and offshore investors, was created to mobilize funds to finance development needs and reduce poverty in member countries.

Mr Ifo said the bank had also in July, this year, signed a credit line of $150 million with India for various projects in member states.

The Accra meeting will appoint a new president of the bank. It is also expected to set new limits in authorized capital for the bank.

He said the bank's total commitments in loans, guarantees and equity participation rose to $905.9 million by end of August this year, from $751 million in December 2010.

Within the same period, four loans amounting to $59 million were signed, he added.

Mr Ifo said at the end of the first half of this year, EBID recorded a surplus of $2.66 million, up from a deficit of $4.8 million at the end of 2010.

"This was made possible as a result of prudent measures put in place, coupled with aggressive loan recovery initiatives being pursued," he said, adding that the bank's financial situation was expected to improve further by the end of the year.

Dr Kwabena Duffuor, Finance Minister and Chairman of the EBID Board of Governors, said the meeting would discuss strategies to make the institution more relevant to West African economies in the face of the current financial crisis in Europe.

“Countries all over the world are making efforts to strengthen their economies by pooling ideas and resources together through regional groupings and associations,” he said.

Source: http://www.businessghana.com/portal/news/index.php?op=getNews&news_cat_id=2&id=154106