The African Development Bank (AfDB) has approved a €70 million worth line of credit to support businesses in the West African Economic and Monetary Union.

AfDB disclosed this in a statement on Thursday, mentioning that it will be granting a $24 million equity investment to the West African Development Bank.

“The Board of Directors of the African Development Bank has approved a line of credit of €70 million and an equity investment of $24 million, to be granted to the West African Development Bank,” the statement by AFDB read.

The bank explained that its move to grant the $24 million equity investment to West African Development Bank was to increase its shareholding from 0.55 per cent to 1 per cent, thereby retaining its seat on the Board of Directors of the West African bank.

AfDB further disclosed that the line of credit will particularly support businesses in job-creating sectors including agribusiness, renewable energy, health, and information and telecommunication.

It said “the line of credit will support businesses in the West African Economic and Monetary Union, particularly in job-creating sectors such as agribusiness, renewable energy, health, and information and telecommunication, which were drastically affected by the COVID-19 pandemic.”

The bank disclosed that the €70 million line of credit is part of a €150 million facility, will be co-financed by Cassa Depositi e Prestiti (€60 million) and FINDEV (€20 million).