TDB, AFD sign $150m green projects deal in Africa
The Eastern and Southern African Trade and Development Bank (TDB) and Agence Francaise de Developpement (AFD) have signed a $150 million credit line deal aimed at financing climate infrastructure projects in Africa.
Most of the non-sovereign loan - 80% - will be dedicated to the financing of eligible climate projects, namely those that promote efforts to reduce or limit greenhouse gas (GHG) emissions or enhance GHG sequestration, or support adaptation projects and sectoral activities. The remaining 20% aims to respond with more flexibility to TDB’s long-term resource requirements for project funding activities. It will allow for the funding of projects which are compatible with the 2015 Paris Agreement and contribute to Sustainable Development Goals, in other sectors such as telecommunications, health or education.
The facility will increase the supply of climate finance from TDB, directly contributing to the achievement of the objectives outlined in the nationally determined contributions of TDB member countries in climate change mitigation and adaptation.
