Arab bank loans US$5 million to Cape Verde

12 June 2012

The Arab Bank for Economic Development of Africa (BADEA) and Cape Verde have signed an agreement for a loan worth US$5 million with a view to financing the first phase of a sanitation project in Espargos, on Sal island.

According to news agency PANA, the agreement was signed at the 47th Annual Meeting of the African Development Bank (ADB), in Arusha, Tanzania, which ended at the beginning of the month.

The loan is repayable over 30 years, with a non-payment period of 10 years and an annual interest rate of 1 percent. The project is located in the city of Espargos, in the centre of Sal island, in the far northeast of the archipelago.

The project is intended to improve social and economic conditions as part of the Millennium Development Goals (MDGs).

BADEA´s funding in Cape Verde at the end of March, 2012 totalled some US$108.5 million. (macauhub)