EPSA Targets and Achievements
- EPSA Phase 1: EPSA 1st phase was USD 1 billion in 5 years (2006 -20011), which was announced at the July 2005 Gleneagles G8 Summit, which was fully achieved in 2011.
- EPSA Phase 2: EPSA 2nd phase was USD 2 billion in 5 years (2012 – 2017), which was initially announced as 1 billion USD at the May 2012 Camp David G8 Summit (AfDB Press Release) and was doubled to 2 billion USD in the occasion of September 2014 AU Summit in Ethiopia, where Japanese Prime Minister ABE made a speech. The EPSA2 target is nearly fully achieved.
- EPSA Phase 3: EPSA 3rd phase will start as soon as the 2nd phase is fully achieved. It was announced at Aug 2016 TICAD6 (AfDB Press Release) that both AfDB and JICA will jointly target USD 3 billion in 3 years.
The EPSA Loan for Non-Sovereign Operations (NSL)
The Non-Sovereign Loan component helps finance the Bank’s private sector operations through a line of credit from JICA to the Bank on concessional terms. So far, there has been 6 NSLs, totaling 1.2 billion USD equivalent.
- 1st NSL: JPY 11.5 billion (equivalent to USD 100 million) was signed on 20 February 2007, soon after the inauguration of President Donald Kaberuka. Press Release1 / Press Release2
- 2nd NSL: JPY 32.1 billion (equivalent to USD 300 million) was signed on 11 September 2008, which was pledged by GOJ at the Fourth Tokyo International Conference on African Development (TICAD IV) in May 2008. Press Release
- 3rd NSL: JPY 8.44 billion (equivalent to USD 100 million) was signed on 17 October 2011. Press Release
- 4th NSL: JPY 9.48 billion (equivalent to USD 100 million) was signed on 16 December 2013. Press Release
- 5th NSL: JPY 30.69 billion (equivalent to USD 300 million) was signed on 16 September 2014 (following the Exchange of Notes with GOJ signed on 12 September 2014 at Abidjan), which had been pledged by GOJ at the TICAD V Ministerial preparation meeting in Cameroon in May 2014. Press Release
- 6th NSL: JPY 35.88 billion (equivalent to USD 300 million) was signed on 8 September 2015, soon after the inauguration of President Akinwumi Adesina. Press Release
In principle, although the resources are pooled with the other financial resources of the Bank and subject to normal Bank processes (including eligibility and pricing), the Bank attributes the utilization of NSL proceeds to specific operations. Thus far, the following projects have been endorsed under the NSLs, a component of EPSA (as of February 2017):
Infrastructure – Bujagali Hydropower Plant (Uganda), Sahanivotry Hydropower Plant (Madagascar), RASCOM (first Pan-African communications satellite), East Africa Submarine Cable System (EASSy), Lekki Toll road (Nigeria), Takoradi II Gas Fired Power Plant (Ghana), XINA Solar One Project (South Africa), Kigali Bulk Water Supply Project (Rwanda), etc.
Financial Sector – Credit Lines to regional Development Financial Institutions (DFIs) such as the West African Development Bank (BOAD), Africa Trade Insurance Agency (ATI), Africa Finance Corporation (AFC), East Africa Development Bank (EADB), Eastern and Southern African Trade and Development Bank (PTA Bank) and PTA Reinsurance Company (Zep-Re), and African Export-Import Bank (Afreximbank), as well as several other commercial banks and National DFIs (Nigeria); equity investment in the creation of the TCX currency hedge facility.
Microfinance – Launch of a new MFI in Tanzania (Access Bank Tanzania) and two in Zambia (Investrust and Zanaco), as well as USD 125 million package SME assistance program expected to benefit 25 MFIs (Africa SME Program)
Equity Fund – Sector specific Funds (e.g. Africa Health Fund (AHF), Africa Agriculture Fund (AAF), Agri-vie, Alitheia Indentity Fund – in support of Women Entrepreneurs), as well as Region specific Funds (e.g Maghreb Private Equity Fund (MPEF II), West Africa Emerging Market Fund (WAEMF), Atlantic Coast Regional Fund (ACRF II) ), as well as PPP Infrastructure Project Development Fund (e.g. Kukuza PDC), etc.
Industries, etc – Lake Harvest (Aquaculture project in Zimbabawe, which received one of the highest ex-ante ADOA ratings), OLAM (major agriculture company investing in Africa), and Mouline Moderne du Mali (Agriculture company in Mali), etc
Accelerated Co-financing Facility for Africa (ACFA)
The Accelerated Co-financing Facility for Africa (ACFA) provides joint or parallel project financing with JICA on concessional terms. (See JICA’s website for its interest rates – special for EPSA under "Preferential Terms":)
AfDB provides project appraisal and loan administration services for the whole project.
The following 22 projects have been approved for ACFA co-financing by JICA (as of Feb 2017):