BIO and DEG join forces in infrastructure and enterprise projects, worth 120 million euros.
The Belgian and German development banks BIO (Belgian Investment Company for Developing Countries) and DEG (Deutsche Investitions- und Entwicklungsgesellschaft) have already been working together on the joint financing of infrastructure and enterprise projects for many years.
While in the past, this usually happened on an ad hoc
basis, both parties have now formally signed a cooperation agreement on
24th May 2019 to increase the volume and number of joint financings and
to improve the impact and efficiency of the development support provided
to the private sector in developing countries.
“DEG is delighted to see its partnership with BIO evolve even further. It matches our ambition to enhance our infrastructure and enterprise investments in developing countries.”
Dr. Peter Thimme, Director of Business Innovation and Syndication at DEG
To this end BIO has allocated an amount of 60 million Euros for joint financings over the next three years; DEG allocates a similar amount. DEG will take the lead in this joint venture and offer BIO the opportunity to share the risk in potential investment opportunities that meet BIO’s eligibility criteria. This agreement covers long-term debt financing for both private infrastructure projects and private enterprises.
“By cooperating in this manner, we can improve the impact and the efficiency of our support of private sector development in our target countries.”
Luuk Zonneveld, CEO of BIO
BIO joined a consortium of DFI partners led by PROPARCO, part of AFD Group, in a deal with Azito Energie S.A. for the expansion of the Azito power plant in Côte d’Ivoire.
FinDev Canada and BIO, the Belgian Investment Company for Developing Countries, today signed an agreement that will further collaboration to support the sustainable growth of the private sector in developing countries.