AfDB and SA Taxi sign $100m loan agreement

The African Development Bank and South Africa's SA Taxi Development Finance have signed a $100 million loan agreement. The funds will support taxi operators with limited access to finance from traditional financiers.

The financial package to SA Taxi - a financing company specialising in the taxi industry - includes a senior loan of $10 million and an associated facility of about $97 million, and the agreement carries an eight-year tenor and includes a six-month grace period.

The facility is expected to contribute a significant component of SA Taxi’s funding requirement over the next three years, the bank said.