Jeddah, KSA, 10.12.2014 – The Islamic Development Bank (IDB) and the Republic of Benin have signed two financing agreements worth a total of US $ 192 million for power generation and road construction in the country. The documents were signed on Wednesday at IDB headquarters in Jeddah by Benin’s Ambassador to the Kingdom of Saudi Arabia, HE Demba Bah Dehiro, and the IDB President, Dr Ahmad Mohamed Ali.
The first agreement covers US $148 million of financing as contribution to the first phase of the Maria - Gleta Power Plant Phase I Project. The 120 megawatt power generation facility is expected to address the power shortage in the country and reduce imports of electricity from Benin’s neighboring states, thus saving up huge sums of money that the country spends for import of electricity and renting power generators.
The second agreement provides US $44 million financing contribution for the road connecting the town of Banikoara to the border of Burkina Faso. The 54 kilometer road is considered as one of the important roads in the country and bears major significance for socio-economic development of not only Benin, but also other West African Nations including Burkina Faso, Niger and Nigeria, all of which are IDB member countries.
The Republic of Benin which joined IDB in 1984, maintains a solid cooperation with IDB. Since that date, the total financings of the IDB Group for Benin reached US $ 375 million inclusive of contributions to several development projects in the fields of Agriculture, education, power, roads, health and water supply, as well as to trade operations.