The World Bank Board of Executive Directors has approved $250 million from the International Development Association (IDA) to support the establishment of the Development Bank of Ghana (DBG).
DBG, when established, will help to increase access to long term finance and boost job creation for 10,000 enterprises in key sectors including agribusinesses, manufacturing and high value services.
“By offering long-term wholesale financing, credit guarantees, and other services, the Ghana Development Finance Project will help increase overall lending to priority sectors and market segments,” says Pierre Laporte, the World Bank Country Director for Ghana, Sierra Leone and Liberia.
The project, he added, will also strengthen the oversight of development finance institutions and the adoption of Environmental and Social standards by financial institutions.
The World Bank’s International Development Association was established in 1960, and exists to among other things, help the world’s poorest countries by providing grants and low to zero-interest loans for projects and programs that boost economic growth, reduce poverty, and improve poor people’s lives.
IDA is one of the largest sources of assistance for the world’s 76 poorest countries, 39 of which are in Africa.
By DGN Online