Investment banks from Europe and Africa finalise agreement to fund Cape Verde

17 December 2010

Luxembourg, 17 Dec – The European Investment Bank (EIB) and the African Development Bank (ADB) Wednesday finalised an agreement to provide funding of 45 million euros to Cape Verde to build and operate wind farms on four of the archipelago’s islands, the European bank said in a statement.

The project will have capacity to generate 28 megawatts of electricity, and will be one of the largest of its kind in Africa, will help the local government to reach its target of 25 percent of its energy needs being met by renewables by 2012 and 50 percent by 2020.

The statement from the EIB said that the project would be carried out by InfraCo, as a public-private partnership between the Cape Verdean government and water and electricity company, Electra – Empresa de Electricidade e Água de Cabo Verde.

Under the terms of the funding agreement the EIB will contribute 30 million euros and the African Development Bank will provide 15 million euros for the project, which requires total investment of 65 million euros. (macauhub)