The Islamic Development Bank (IDB) is supporting Benin in its social housing construction project. On Thursday, October 17, 2019, on the sidelines of the World Bank / IMF assemblies in Washington, the signing of a credit agreement took place between the President of the IDB Bandar Al Hajjar and the Minister of Economy and Finance Romuald Wadagni.

40.76 billion FCFA. It is on this amount that the financing of the IDB relates to this social housing construction project in Benin, the overall estimated cost of which is CFAF 49.85 billion. This is a direct loan from the IDB for an amount of 5.86 billion FCFA and an installment sale financing for an amount of 34.90 billion FCFA. The State contribution for this project is 9.09 billion FCFA. According to the characteristics of the financing of the IDB, the Administrative burden should not exceed 1.5% of the total amount and the duration is 25 years including 7 deferred.

In reality, this project will allow the construction of 2,145 social housing units with the associated basic secondary infrastructure (water drainage network, street lighting, drinking water network, etc.). It is part of the strengthening of basic social services and social protection. This project aims to: increase the access of middle and low-income households to decent housing at an affordable cost; promote new methods of production and construction of social and economic housing; create jobs at the national level and stimulate economic activities in the municipality of Abomey Calavi.

It should be noted that Benin maintains very good relations with the Islamic Development Bank. The last IDB intervention in Benin was on April 3, 2018 for the financing of the Cotonou-Niamey Corridor Rehabilitation Project: Béroubouay-Malanville Section. This financing of social housing will bring cooperation with the IDB to 62,488,633,247 FCFA over the last three years.