Mauritius - Mauritius Commercial Bank (MCB)


Project Summary

Approval Date 11 Sep 2013
Signature Date 21 Oct 2013
Sovereign / Non-Sovereign Non Sovereign
Sector Finance
DAC Sector Code 24030
Commitment U.A 109,621,877.6
Status Implementation

Project General Description

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.

Project Objectives

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.

Beneficiaries

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.

Participating Organization

Funding
African Development Bank

Information

IATI identifier 46002-P-MU-HAB-002
Last Update 31 Oct 2019

Export

Contact Details

Email private-sector@afdb.org

Geographic Location

Country Mauritius