Multinational - Seed grant - private sector credit enhancement facility ADF 13

The present intervention presentation is about a USD 230 million grant from the African Development Fund to the PSF. It is a credit enhancement structure of the facility that can hedge exposures of $ 700 million at a credit enhancement level equivalent to "BBB". As a participant in the partial credit risk (on average 50% of credit default risk), the FSP has a target of $ 1.4 billion. As a financially and legally autonomous facility, it shares the default risks and revenues of the African Development Bank's private financing in these markets. The PSF can not participate in debt financing operations in low-income countries or transactions through financial intermediaries where the majority of products are deployed in low-income countries.