Nigeria - Second Line of Credit to Zenith Bank PLC


Project Summary

Approval Date 13 Dec 2006
Signature Date 19 Apr 2007
Sovereign / Non-Sovereign Non Sovereign
Sector Finance
DAC Sector Code 24030
Commitment U.A 64,698,537.17
Status Completion

Project General Description

The project is in line with the Bank’s Private Sector Strategy of support financial institutions for the development of private sector activities in Regional Member Countries. It consists of granting additional resources to Zenith Bank in the form of a second line of credit (LOC II) of USD 100 million. LOC II will be utilised to finance infrastructure projects, corporates and SMEs in the agribusiness, energy, telecommunications manufacturing and extractive industries. With the Bank’s line of credit, Zenith will be able to provide medium to long-term funding to sub-borrowers in Nigeria. Such medium to long term funding is not readily available to corporate companies in Nigeria and term funding is fundamental for the implementation of investment plans and the development of the economy.

Project Objectives

The project will strengthen the Nigerian financial system through the support of a successful and fast-growing medium-size local bank. The project will strengthen the Nigerian capital market through the provision of scarce medium and long term lending in foreign currency.

Beneficiaries

The direct beneficiaries of the intervention are Zenith Bank of Nigeria, the Federal Government of Nigeria, as well as MSMEs.

Participating Organization

Funding
African Development Bank

Information

IATI identifier 46002-P-NG-HAB-006
Last Update 02 Dec 2022

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Contact Details

Email private-sector@afdb.org

Geographic Location

Country Nigeria
Coordinates Location Name
10 8 Nigeria