AfDB Pumps In USD 70 Mn In Nigerian State To Increase Accessibility For SMEs
Ebonyi State, located in the southeastern part of Nigeria has secured a USD 70 Mn loan from African Development Bank Group for a road project.
The bank revealed this recently in a statement where they further divulged that it would provide USD 40 Mn of the total loan, while its co-financier, Africa Growing Together Fund would contribute another USD 30 Mn.
It further stated that the Islamic Development Bank would provide a loan of USD 80 Mn while Ebony State Government would add the remaining USD 18 Mn in a project estimated at USD 167 Mn.
The bank stated that the loan would cover the rehabilitation and asphalting of a 51 km road between Nwezenvi and N’Doko, and part of the corridor between N’Doko and Ezzamgbo spanning 38.91 km. The project is expected to be completed in five years.
“The project attests to the African Development Bank’s commitment to improve the quality of life of Africans by improving accessibility and road safety in its member countries,” the bank said.
The project will enable Ebonyi develop special agro-industrial zones dedicated to processing of subsistence crops. It will improve infrastructure and ease access to markets for farming communities and SMEs. 1,400 people will get jobs during the construction period.
Once completed, the road network, which covers a total 177.81 km, is expected to serve also as an international link between Ebonyi State and Nigeria’s eastern neighbor, Cameroun, in addition to connecting Ebonyi to Benue and Enugu.
The financial institution stated that it has been financing projects in Nigeria since 1972 and has since provided a total credit of USD 630 Mn in financing the sector, including a USD 69.9 Mn facility through the private sector.
Following their continued support, Nigeria’s President Muhammadu Buhari has commended the Bank for its successes and pledged Nigeria’s continuous support for the institution.
“I want to recognise the support that the African Development Bank has given Nigeria in recent times. I remember the Bank’s critical gesture in 2016 during the difficult period of economic recession through a USD 600 million budget support facility. We appreciate this and assure you that we will continue to work towards a diversified Nigeria,” President Buhari said at the meeting recently.
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