2023-12-16 09:58:45
Meeting in plenary, this Friday, December 15, 2023, the National Transition Advisors adopted 3 draft credit agreements, including 2 between Guinea and the Islamic Development Bank (IDB).
Concerning the first agreement relating to the financing of the Regional Program for Mapping of Soil Fertility in West Africa (PRCFS), the IDB agrees to grant Guinea a credit in the amount of 2 million US dollars composed of:
740,000 Islamic dinars, or 1,000,000 USD, from its own resources, and 1,000,000 USD from the resources of its subsidiary, Islamic Solidarity Fund for Development (FSID).
The conditions for making this loan available are as follows:
For the IDB:
The loan repayment period is 25 years including a 7-year grace period. Reimbursement will be made in 36 consecutive half-yearly payments.
The Service Fee is estimated at 24,664.48 DI and is due from the date of this Agreement. They will be calculated at the end of the project implementation period. This amount should not exceed 1.5% of the BID loan. The final disbursement date is scheduled for October 10, 2025.
For the principal of the Islamic Solidarity Fund (FSID), the loan repayment period is 30 years with a 10-year grace period. Reimbursement will be made in 40 consecutive half-yearly payments. The Service Fee is estimated at US$33,330.37 and is due from the date of this Agreement. They will be calculated at the end of the project implementation period. The amounts should not exceed 2% of the loan. The last disbursement date is October 10, 2025.
Support for female businesses in the rice value chain
The second agreement concerns the financing of the support program for the strengthening of women’s businesses in the rice value chain in West Africa (EWASME) which will be implemented in Guinea. The project will be implemented in the prefectures of Boké, Boffa and Coyah for the coastal zone, Dinguiraye and Siguiri in Upper Guinea. These locations are selected because of the rice growing potential, the high consumption of rice and the presence of outlets (mining companies) in the said areas on the one hand, and taking into account previous interventions by the IDB, on the other hand.
The total amount is 12 million 250 thousand USD including 2 million 676 thousand 150 USD for businesses owned by women. The 11,250,000 US dollars for this project are drawn from IDB resources with a contribution from UNDP of up to 1 million USD.
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