Finance

BADEA Raises €750mln on International Eurobond Market

BADEA Raises €750mln on International Eurobond Market
Friday, 21 March 2025 19:28

This bond issuance strengthens the bank's ability to act, enabling it to expand its impact in low-income African countries, while maintaining a cautious risk profile.

The Arab Bank for Economic Development in Africa (BADEA) successfully raised €750 million ($812.3 million) through an international bond issuance, set to mature in March 2028, with a fixed coupon rate of 3%. The bonds were issued at 99.653% of their nominal value, offering a yield of 3.123%.

This operation was supported by an international banking syndicate, which included Afreximbank, Citigroup, Deutsche Bank, Emirates NBD, JP Morgan, Société Générale, and Standard Chartered. Investor demand was strong, driven by interest in high-rated supranational issuers (BADEA holds an AA- rating with a stable outlook from S&P), particularly as African sovereign issuances remain under pressure.

The bond issuance came at a time when rating agencies were reaffirming the issuer’s financial stability. In September 2024, S&P Global Ratings reaffirmed BADEA’s AA rating with a positive outlook, praising the institution’s asset quality, financial governance, and liquidity. Meanwhile, Moody’s upgraded its rating to Aa1 in May 2024, and in November, Japan Credit Rating Agency (JCR) assigned BADEA a stable AAA rating.

This funding raise is strategically timed, following the BADEA board’s approval in December 2024 of a five-year plan (2025-2029) worth $18.375 billion, a 120% increase over the previous strategic cycle. The plan aims to boost financing in key sectors such as infrastructure, agriculture, SME development, and regional trade integration.

BADEA’s ambitions are aligned with the Arab Coordination Group, which announced a collective $50 billion commitment in 2024 to support Africa’s economic transformation. By strengthening its capital base in the bond markets, BADEA aims to solidify its role as a financial bridge between the Arab world and sub-Saharan Africa. Earlier in January 2024, BADEA had already raised €500 million in its first-ever senior, non-guaranteed social bonds.

On the same topic
EBRD, EU, GCF, and Canada plan €65 mln ($77 mln) green loan for Crédit du Maroc. Funds to support clean energy, water treatment, and sustainable...
World Bank projects Ivory Coast could achieve 7-8% average annual growth with fiscal mobilization above 15% of GDP. Ivory Coast's tax revenue...
• NSIF denies rumors of interest in buying Chococam, saying it is focused on other projects.• Cadyst Invest, linked to Célestin Tawamba, is rumored to...
• AXA sells 80% of AXA Crédit Morocco to Stellantis’ Fidis arm• Stellantis to offer bundled car sales, financing, and insurance• Move aligns with...
Most Read
01

From Dakar to Nairobi, Kampala to Abidjan, mobile money has become a lifeline for millions of Africa...

Africa's Boundless Future: How a simple mobile phone became a pocket bank for millions
02

• WAEMU posts 0.9% deflation in July, second month in a row• Food, hospitality prices drop; alcohol,...

WAEMU Region Records Second Straight Month of Deflation, at -0.9% in July 
03

Airtel Gabon, Moov sign deal to share telecom infrastructure Agreement aims to cut costs, boo...

Gabon’s Airtel, Moov to Share Towers Under Govt-Brokered Deal
04

Vision Invest invests $700m in Arise IIP, Africa’s largest private infrastructure deal in 202...

Saudi Arabia’s 2025 Shopping List Now Includes Industrial Parks in Africa — With a $700 Million Entry Ticket
05

Even though it remains the smallest "crypto-economy" in the world, sub-Saharan Africa shows that vir...

Sub-Saharan Africa Crypto Transactions Up 52% to $205B on Inflation, Inclusion Push
Enter your email to receive our newsletter

Ecofin Agency provides daily coverage of nine key African economic sectors: public management, finance, telecoms, agribusiness, mining, energy, transport, communication, and education.
It also designs and manages specialized media, both online and print, for African institutions and publishers.

SALES & ADVERTISING

regie@agenceecofin.com 
Tél: +41 22 301 96 11 
Mob: +41 78 699 13 72


EDITORIAL
redaction@agenceecofin.com

More information
Team
Publisher

ECOFIN AGENCY

Mediamania Sarl
Rue du Léman, 6
1201 Geneva
Switzerland

 

Ecofin Agency is a sector-focused economic news agency, founded in December 2010. Its web platform was launched in June 2011. ©Mediamania.

 
 

Please publish modules in offcanvas position.