The ECOWAS Bank for Investment and Development (EBID) has granted a 50 million dollar (USD) facility to Consolidated Bank Ghana Limited (CBG) to aid in the development of Ghana’s road infrastructure.
Dr. George Agyekum Donkor, President and Chairman of the Board of Directors of EBID, and Mr. Daniel Wilson Addo, Managing Director of CBG, signed the agreement on Monday, May 17, 2021, at the CBG Head Office in Accra.
The granting of this line of credit embodies EBID’s development commitment to address the West African sub-massive region’s infrastructure deficit, which aligns with Ghana’s development agenda to boost socio-economic growth through the development of a reliable road network across the country.
As a result, the CBG line of credit will provide impetus to the government’s development initiatives.
EBID has invested over USD 2.8 billion to date in the ECOWAS community to promote the development of various sectors such as health, agriculture, energy, hospitality, trade, telecommunications, manufacturing, and infrastructure.
Dr. Agyekum Donkor explained to Citi Business News that doing business with promoters through CBG and other major sub-regional corporate institutions will help to limit the level of non-performing loans originally intended for development projects in Ghana and other ECOWAS member-states.
CBG is one of Ghana’s largest banks, with a balance sheet of GHS 10 billion and 114 branches spread across the country’s 16 regions.
The bank has quickly established a reputation for excellence in banking, particularly in lending and providing digital solutions to SMEs. CBG is also actively leveraging its balance sheet and reach to help the government with its post-COVID recovery agenda.
The EBID facility will be used to supplement its financing scheme for private construction companies involved in the execution of key road projects throughout the country.
EBID and CBG will work together over the next six years to ensure that the road infrastructure projects that will be funded adhere to the provisions of the national and international institutional framework on sustainable development and environmental protection.
The ECOWAS Bank for Investment and Development (EBID) is a leading regional investment and development bank owned by Benin, Burkina Faso, Cape Verde, Côte d’Ivoire, The Gambia, Ghana, Guinea, Guinea-Bissau, Liberia, Mali, Niger, Nigeria, Senegal, Sierra Leone, and Togo.
The Bank, headquartered in Lomé, Togo, is dedicated to financing development projects and programs spanning infrastructure and basic amenities, rural development and environment, industry, and social services sectors through its private and public sector windows.
Long, medium, and short-term loans, equity participation, lines of credit, refinancing, financial engineering operations, and related services are all ways in which EBID can help.