Unlocking Affordable Housing in Africa: BRVM and Shelter Afrique Development Bank Join Forces in Groundbreaking Partnership

910 Views

The Regional Stock Exchange (BRVM) and the Shelter Afrique Development Bank (ShafDB), the pan-African multilateral bank for housing and urban development, have signed a memorandum of understanding aimed at mobilizing capital for affordable housing projects on across Africa. The regional stock exchange serving the West African Economic and Monetary Union (WAEMU) region.

The Memorandum of Understanding establishes a framework for cooperation between the two organizations to address Africa’s growing housing shortage, currently estimated at more than 53 million units. The partnership will focus on using financial resources through innovative instruments such as green, social and sustainable bonds (GSSS), as well as real estate investment trusts (REITs).

Aline ASSANKPON

Edoh Kossi Amenounve, CEO of BRVM, and Thierno-Habib Hann, CEO of Shelter Afrique, signed the memorandum of understanding during a ceremony held in Washington DC on the sidelines of the IMF and World Bank annual meetings last week.

This collaboration is an essential step to strengthen the ability of African markets to finance sustainable housing development, especially in the eight WAEMU countries, namely Benin, Burkina Faso, Côte d’Ivoire, Guinea-Bissau, Mali, Niger, Senegal and Togo.

Main areas of collaboration

ShafDB and BRVM will work together to design and implement a plan to issue debt securities in the BRVM regional financial market.

The parties will explore bonds linked to sustainability by promoting the use of green, gender, Islamic and diaspora bonds to support housing finance in the WAEMU region and stimulate capital and encourage investment in the community housing sector through real estate investment trusts ( REITs).

Both sides will also exchange information, provide technical assistance and collaborate on joint research and publications to advance their common goals. Speaking at the signing ceremony, Thierno-Habib Hann highlighted the importance of partnership in solving Africa’s housing crisis.

“This partnership with BRVM is an important step for the Shelter Afrique Development Bank. With Africa’s housing deficit now exceeding 53 million units, we must rapidly scale up our efforts. This Memorandum of Understanding gives us the opportunity to use the capital needed to fund affordable and sustainable housing projects across the continent “, said Mr. Hann.

“BRVM is proud to partner with the Shelter Afrique Development Bank (ShafDB) to stimulate investment flows in the African housing market. This collaboration is part of our mission to promote capital markets and support sustainable development in the UEMOA region. said Edoh Kossi Amenounve

About the BRVM

The Regional Securities Exchange (BRVM) is the UEMOA regional securities exchange. It facilitates access to capital markets for businesses and governments in eight West African countries, thereby promoting investment, economic growth and regional integration. The BRVM is committed to promoting financial inclusion and sustainable development through innovative market solutions.

About Shelter Afrique Development Bank:

Shelter Afrique Development Bank (ShafDB) is the pan-African multilateral development bank (MDB) dedicated to promoting and financing sustainable green housing, urban development and related infrastructure. It operates thanks to a shareholder base that includes 44 African governments and two institutional shareholders: the African Development Bank (AfDB) and the African Reinsurance Corporation (Africa-Re).

The organization is involved in financing housing and related infrastructure across the value chain, both on the demand and supply side, through its four (4) lines of activity: Financial Institutions Group (FIG), Project Finance Group (PFG), the Sovereign and Public-Private Partnerships Group (PPP), and the Funds Management Group (FMG).