Angola - Banco Fomento De Angola S.A. (BFA)

This intervention concerns the Banco Fomento De Angola S.A. (BFA). It consists to a USD 10 million Transaction Guarantee (TG) facility to support the trade finance activities of Banco Fomento de Angola S.A (BFA). The facility, which will be uncommitted, will allow the Bank to provide up to 100% guarantee to Confirming Banks (CBs) for the non-payment risk arising from the confirmation of letters of credit and similar trade finance instruments issued by BFA. The facility will also have an important “demonstration effect” which may prove vital in enhancing BFA’s financial sector’s ability to access trade finance lines from the international debt markets. The project primarily contributes to climate adaptation results. As such, 30% of the total approved amount is attributed as climate finance, of which 3 million USD is dedicated to adaptation.