The Republic of Benin, represented by the Minister of Economy and Finance Romuald Wadagni, signed today a Credit Agreement with the international bank Natixis and benefiting from the guarantee of the French export credit agency Bpifrance Assurance Export. This operation constitutes the largest export financing ever mobilized by Benin.

The country is thus once again demonstrating its ability to mobilize attractive sources of financing on the capital markets, with very favorable and unprecedented financial conditions – with a final maturity close to 15 years for buyer credit and an interest rate in – below 2.5% – despite the Covid-19 pandemic.

The funds mobilized will allow the financing of Benin’s sustainable and secure access to electric power project (‘PADSBEE’) which represents one of the flagship projects of the Government’s Action Program. In addition to meeting the growing needs of citizens for reliable energy, the project covers 8 departments and will provide power to several business zones, thus strengthening Benin’s growing attractiveness to industrial and economic investors.

Scheduled to be carried out over a period of 36 months, the work entrusted to the company VINCI Energies covers a set of electrical energy transmission and distribution structures. This concerns the construction of approximately 500 km of overhead and underground very high voltage and high voltage transmission lines, 7 new very high voltage transformer stations, while 4 existing high voltage stations will undergo capacity extension work. Finally, the contract covers the supply and construction of more than 1,000 km of medium and low voltage energy distribution networks as well as the connection of several thousand homes.

This transaction once again demonstrates Benin’s ability to structure innovative financing in order to optimize its borrowing conditions, three months after the issuance of the bond instrument in Euros at the longest maturity ever reached by an issuer. African ruler.

Cotonou, April 1, 2021.