February 13—Small and medium enterprises (SMEs) banking with Togo-based Ecobank Transnational Incorporated (ETI), have a chance to borrow part of $200 million, FMO, the Dutch development bank, has made available for SME growth across the continent.
Ade Ayeyemi, the Ecobank Group CEO, said recently, “ETI is pleased to conclude this financing arrangement with FMO, who have been able to bring a significant number of players to the financing table. The transaction will greatly enhance our capacity to serve our SME clients, who continue to be a very important market segment for us.”
Ecobank has branches in 36 countries, including Uganda and other East African Community member states. In line with the Ecobank Group’s strategic development objectives, at least 75% of the $200 million will be directed to SMEs across various sectors of the economy.
The FMO deal comes in the form of a five to seven year syndicated facility and is the second such arrangement. Jürgen Rigterink, Chief Executive Officer at FMO said, “FMO is proud to have arranged this successful syndicated loan agreement for our long-standing partner Ecobank Group.”
He said, “Through this investment we support small and medium-sized enterprises in some of the most underbanked countries in Africa. Although SMEs in these countries provide the majority of jobs, their access to finance remains limited. We are really happy to bring new investors to these markets and help to spur economic growth where it is needed most.”