|Approval Date||11 Sep 2013|
|Signature Date||21 Oct 2013|
|Sovereign / Non-Sovereign||Non Sovereign|
|DAC Sector Code||24030|
This project is the second Line of Credit (LOC) and the first subordinated loan of the African Development Bank to Mauritius Commercial Bank (MCB). It consists of a financial package comprising a USD 120 million senior loan and a USD 30 million subordinated loan to MCB for on-lending to large and medium-sized enterprises in Mauritius and neighboring countries such as Madagascar, Mozambique and Seychelles. It should be noted that MCB is a regional bank with branches in Mauritius, Seychelles and Mozambique, as well as with representative offices in Johannesburg and Nairobi. It actively supports several banks in mainland Africa through its “Bank banking” initiative and its trade finance operations. In addition, it finances projects in Ghana, Kenya, Seychelles, Madagascar and many other countries. MCB customers are primarily active in the manufacturing, transportation, financial services, construction, agro-industry and energy sectors. This new LOC will build on the experiences gained with LOC I, in promoting the expansion of MCB and supporting economic activities in Mauritius and surrounding countries.
The project's goal is to support broader economic growth, SME growth, job creation, private sector development, and prosperity in Mauritius and mainland Africa, where MCB operates. In addition, the project is expected to provide MCB with liquidity so that it can continue to adequately fund its pipeline of critical projects to boost trade, exports and production capacity.
The main beneficiary of the project is the Mauritius Commercial Bank (MCB). Secondary beneficiaries are large and medium-sized enterprises in Mauritius and neighboring countries such as Madagascar, Mozambique and Seychelles. In addition, estimates project the creation of 1,584 jobs through 13 projects divided between Ghana, Kenya, Madagascar, Seychelles and other countries. The LOC should not only stimulate economic activity in the region and targeted sectors targeted, but also generate additional government revenue for the Government of Mauritius and other countries.
African Development Bank
|Last Update||31 Oct 2019|