Japan has entered into a US$100mn loan agreement with the African Development Bank (AfDB) to support the growth of Africas economy
The deal was signed by Dr Donald Kaberuka, AfDB President, and Juichi Takahara, ambassador of Japan to Tunisia.
The agreement is the fourth loan to the AfDB under the Enhanced Private Sector Assistance (EPSA) for Africa Initiative that the two have signed.
“This loan will help in accelerating private sector growth, create employment opportunities, support economic and social infrastructure development, and the investment climate,” said Dr Kaberuka during the signing ceremony.
“This Fourth Private Sector Assistance Loan is the first under the Second Phase of EPSA, is not only in line with Japan’s commitment at the G8 Gleneagles Summit in 2005 but also a concrete realisation of the outcome of the TICAD V in Yokohama," the AfDB President added.
Ambassador Takahara also stated that the loan will contribute to the expansion of Africa's private sector.
The AfDB said it plans to use the loan to support African SMEs and investments including public-private partnerships.
