The Board of Governors of the ECOWAS Bank for Investment and Development (EBID) has unanimously increased the Bank’s authorised capital from $1.5 billion to $3.5 billion with effect from January 2023.

The Governors also called for the third tranche of the capital of the Bank which is in the sum of $438 million.

The Board of Governors which comprises the Ministers for Finance and Ministers for Planning and Development of the fifteen ECOWAS Member States took this decision at its just-ended 10th Extraordinary session held on 27th October 2022 in Praia, Cape Verde.

The President and Chairman of the Board of Directors of EBID, Dr George Agyekum Donkor, made this disclosure immediately after the session.

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According to Dr Donkor, the decision by the Governors was very strategic and timely especially as the Bank intensifies its resources mobilisation initiatives and seeks to position itself as the foremost regional development finance institution committed to playing a key and expansive role in assisting ECOWAS Member States to navigate the path to socio-economic recovery from the fallout of the COVID-19 pandemic and the Russian – Ukraine war.

Outlining the justifications for the Governors’ decision, Dr Donkor emphasised the need for the Bank to improve leverage, capital adequacy, liquidity, and overall risk-bearing capacity.

He further underscored the need for the Bank to be abreast with industry trends and improve its rating.

According to the President of EBID, calling the third tranche of the Bank’s capital will no doubt enhance the Bank’s capacity to grant concessionary resources to Member States in order to accelerate economic recovery.

The Chairman of the Board of Governors, who is also the Vice-Prime Minister for Finance and Business Development and Minister for Digital Economy of Cabo Verde, Dr Olavo Avelino Garcia Correia, commended the President of the Bank and his team for the remarkable and exceptional performance within a short time which has led to the impressive operational and financial performance of the Bank and the eventual upgrade of the Bank’s rating by both Moody's and Fitch rating agencies.

He urged the Management of the Bank not to rest on its oars but to strive to obtain investment grade in order to attract competitive resources for ECOWAS Member States.