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AfDB approves financing for Eastern and Southern African development projects

3rd October 2013

By: Leandi Kolver

Creamer Media Deputy Editor

  

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The African Development Bank’s (AfDB’s) board has approved a financial package comprising $20-million in additional equity and a $50-million line of credit to finance projects in the Eastern and Southern African Trade and Development Bank (PTA Bank) member States.

The financial package would allow PTA Bank to finance a mix of small and medium-sized enterprises (SMEs) and regional infrastructure projects.

“It would also contribute to mobilising financial resources for the development of the Tripartite Free Trade Area, which would ultimately contribute to economic development and generate employment opportunities,” the AfDB said.

By focusing on trade finance and the financing of SMEs and infrastructure projects, the financial package to PTA Bank would have a positive impact on inclusive growth, private sector development and job creation through increased taxes and government revenues in Eastern and Southern African countries, and across the continent, through leverage stemming from regional trade and regional infrastructure projects, the AfDB explained.

The provision of this financial package was built on the existing strong partnership between PTA Bank and the AfDB.

Edited by Chanel de Bruyn
Creamer Media Online Managing Editor

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