SENEGAL - Partial Credit Guarantee to mobilise Sustainable Financing (Senegal Sustainable PCG)

The project consists in the provision of a Partial Credit Guarantee (PCG) envelope by the African Development Bank (AfDB) for an amount not exceeding EUR 400 million (UA 322 million) for the mobilization of its first sustainable financing by the Republic of Senegal (GPC Durable Senegal) in the form of sustainable loan(s) for a maximum amount of EUR 500 million exclusively allocated to environmental and social expenses. The proposed intervention would allow Senegal to mobilize its first sustainable financing from international commercial banks. The project would contribute to Senegal’s efforts to achieve sustainable, inclusive, low carbon and climate-resilient growth through the mobilisation of Senegal’s first sustainable financing on the international financial market. The ADB PCG will catalyse the provision of a sustainable loan on competitive terms by investors/commercial banks in line with the country’s Medium-Term Debt Strategy. The proceeds of the sustainable loan mobilised by the ADB PCG will be used exclusively to finance eligible green and social expenditure and projects by the Government under PES 2014-2035 and the vision of “an emerging Senegal in 2035” and the Nationally Determined Contribution (NDC). The project contributes to climate finance, with 219 million USD of the total approved amount dedicated to adaptation.