FSL terms and conditions


  • Public Sector Companies of ADB and Blend countries without a sovereign guarantee and Private Sector Companies in all Regional Member Countries.


  • EUR, USD, ZAR, JPY and any lending currency approved by the Bank, including local African currencies.

Maturity and grace period

  • Up to 15 years including a 5-year grace period

Lending rate Formula

  • Base Rate (Floating or Fixed) + risk-based lending spread

Base Rate

  • Floating = 6-month Libor for USD and JPY, 6-month Euribor for EUR, 3-month Jibar for ZAR, or
  • Fixed = amortizing swap rate

Repayment terms

  • Equal installments of principal after expiration of the grace period. Other repayment terms, notably, annuities, bullet, step-up or step-down amortization may be considered.

Payment dates

  • Interest and any other charges on Bank’s loans are payable semi-annually in accordance with the payment dates selected by the borrower, outside of 1 Jan / 1 Jul.


  • Front-end fee: determined during appraisal
  • Appraisal fee: determined during appraisal
  • Commitment fee: minimum of 0.5%
  • Late payment fee: 2% of the unpaid amount
  • Swap Unwinding Cost: cost of unwinding the underlying derivative transactions.
  • Supervision fee: determined during appraisal
  • Other fees (legal, warehousing fees in the case of local currency etc. determined during appraisal)

Prepayment premium

  • In case of prepayment of a loan with a fixed base interest rate or any other conversion feature, the Bank may charge a prepayment penalty that reflects the cost of unwinding the underlying transaction(s).


  • Undisbursed portions of loans can be cancelled without penalty.