Global law firm Ashurst represented the African Development Bank in connection with a EUR 470 million dual currency and XOF 65.5 billion partial guarantee facility to the Republic of Côte d’Ivoire arranged by Deutsche Bank and Société Générale. Innovative risk-sharing structures in the form of first-loss partial credit guarantees from the AfDB mobilize private capital through competitive long-term commercial financing, spanning both hard and local currency financing.
The facility is designed to drive strategic green and social investments in line with the Sustainable Development Goals and Ivory Coast’s National Development Plan 2021-2025. The transaction builds on a €533 million AfDB-backed guarantee facility completed in 2023, reflecting Côte d’Ivoire’s continued economic resilience and improved creditworthiness. The guarantee supports debt sustainability by diversifying financing sources and extending maturities in line with the country’s 2024-2028 medium-term debt management strategy, driving private capital to priority development-impact projects. The guaranteed local currency tranche also addresses persistent CFA Franc liquidity constraints in the WAEMU regional market.
Proceeds will fund a portfolio of high-impact initiatives in priority areas such as sustainable agriculture, water and sanitation, renewable energy, health, affordable housing, education and financial inclusion, further advancing Ivory Coast’s vision of achieving upper-middle income status by 2030 through sustainable economic transformation.
Commenting on the transaction, Ahmed Atout, Director of Financial Sector Development at the African Development Bank Group, said: “This second partial credit guarantee transaction with the Republic of Côte d’Ivoire underscores the African Development Bank Group’s commitment to supporting repeat high-impact market access. Building on the success of the first guarantee transaction, the Bank continues to deploy risk mitigation measures to mobilize long-term private finance for priority green and social investments and strengthen investor confidence.” Supporting debt sustainability in line with Ivory Coast’s development agenda. ”
Commenting on Ashurst’s role, lead partner Tom Longmuir said: “We are extremely proud to act on behalf of our clients on their most strategic issues. This second major guaranteed loan to the Republic of Côte d’Ivoire will support sustainable financing in Africa, mobilizing private capital and adding value, including local currency. It marks another important step in the use of multilateral risk mitigation tools in value creation. We are pleased to once again support our client, the African Development Bank, in providing competitive long-term financing for Côte d’Ivoire’s green and social priorities. ”
The Ashurst team was led by partner Tom Longmuir and senior associate Samia Kenous, supported by associates Lillian Decott, Orpheus Jeanneau and Rohan Last, and lawyer-in-training Peggy Flanagan. Lawyer Gael Cognet advised on environmental and sustainability-related legal issues, while partner Emmanuel Cabrol and senior associate Bogdan Voynov advised on arbitration and indemnity-related aspects.
