Pan-African multilateral insurer African Trade & Investment Development Insurance (ATIDI) has insured a $327 million loan facility issued by investment banking company Deutsche Bank to the Government of Tanzania.
The loan facility will finance 50 recognized power, road, water, health, and education infrastructure projects included in Tanzania’s budget for 2022/2023.
Aligned with the East African country’s National Development Vision for 2025, the seven-year comprehensive cover to Deutsche Bank will insure the financial service provider against non-payment by the Government of Tanzania on the loan facility advanced to the Ministry of Finance.
“We are proud to have been selected by the United Republic of Tanzania as their partner of choice on this facility to help fund a number of critical infrastructure projects in the country,” stated Maryam Khosrowshahi, Chair of Global SSA at Deutsche Bank, adding, “The successful execution of both tranches within a relatively short timeframe since the start of the transaction is testimony to the Bank’s ability to structure and execute complex and innovative financings in sub-Saharan Africa.”
Tanzania serves as one of seven countries alongside Burundi, Kenya, Malawi, Rwanda, Uganda, and Zambia, which founded ATIDI to cover trade and investment risks for companies doing business in Africa.
Since its inception in 2001, the insurer has supported Tanzania in project development worth over $3.5 billion in industries including finance, insurance, oil and gas, construction, and manufacturing.
“ATIDI is happy to support viable and impacting projects in Tanzania,” stated ATIDI CEO, Manuel Moses, adding, “As the largest pan-African multilateral insurer on the continent, it continues to play a pivotal role in supporting its member countries’ development plans and priorities. We are looking forward to discussing further transformational projects that will sustainably benefit Tanzania and its people.”
The current contract value of ATIDI in Tanzania stands at $3.5 billion. Furthermore, the insurer has a pipeline of projects worth over $900 million to be implemented in the near future.
Source : Energy Capital Power