AfDB becomes first institutional shareholder in EBID, injects $100m

The African Development Bank Group has become the first institutional shareholder in the ECOWAS Bank for Investment and Development (EBID), committing a $30 million equity investment and a $70 million long-term credit facility in a landmark transaction expected to strengthen development financing across West Africa.

The investment, approved by the AfDB Board of Directors on 17 June 2026, marks a significant shift in EBID’s ownership structure, which had previously been held exclusively by member states of the Economic Community of West African States (ECOWAS).

According to EBID in a press statement, the $70 million credit line will be channelled towards financing high-impact projects, particularly in the renewable energy sector, in line with the region’s growing need for sustainable infrastructure and energy transition investments.

The development represents a major milestone in the implementation of EBID’s Growth, Resilience and Optimisation (GRO) Strategy 2026–2030, which seeks to position the Lomé-based lender as a leading development finance institution capable of attracting larger pools of long-term capital and increasing its developmental impact across the sub-region.

AfDB’s entry into EBID’s shareholding is expected to enhance the bank’s standing among international investors, improve access to competitive funding sources, and strengthen its overall credit profile. The partnership is also expected to bolster governance standards, resource mobilisation efforts, and operational effectiveness.

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EBID disclosed that resources mobilised under the arrangement are expected to catalyse up to $230 million in total project financing. The projects are projected to improve electricity access for more than 250,000 households across West Africa, create employment opportunities, and reduce annual carbon emissions by approximately 355,500 tonnes.

Commenting on the transaction, President and Chairman of EBID, Dr George Agyekum Donkor, described AfDB’s entry into the bank’s shareholding as a “historic and transformative milestone” that demonstrates confidence in EBID’s development model and strategic vision. He said the partnership would strengthen the institution’s capacity to mobilise large-scale resources and support sustainable development initiatives across the region.

The transaction comes at a time when development finance institutions across Africa are seeking innovative capital-raising structures to bridge the continent’s widening infrastructure financing gap, estimated at tens of billions of dollars annually.

AfDB’s participation could pave the way for other international development finance institutions and strategic investors to acquire stakes in EBID, potentially broadening the lender’s capital base and enhancing its ability to fund regional integration projects.

Founded as the development finance institution of the 15 ECOWAS member states, EBID finances projects across infrastructure, industry, rural development, environmental sustainability, and social services through loans, equity investments, lines of credit, and other financial instruments. The bank said the partnership with AfDB signals a new phase in its evolution as it seeks to play a more prominent role in driving economic transformation and sustainable growth in West Africa.