By Fatou Dahaba
The ECOWAS Bank for Investment and Development (EBID) announced a notable increase in resource mobilization during the 23rd ordinary session of its Board of Governors meeting in Banjul.
Dr. George Agyekum Donkor, President of EBID, revealed that the bank achieved a 30.71% increase in revenue mobilization from 2023 to 2024.
In 2024, EBID successfully mobilized resources totaling UA 288.53 million, equivalent to USD 383.60 million. These remarks were made on Monday, April 14th, at the Sir Dawda Jawara International Conference Center during a high-level meeting attended by finance ministers and other stakeholders from across the region.
Dr. Donkor also reported a rise in the bank’s profitability, which reached UA 6.43 million (USD 8.55 million) in the current year, reflecting a 12.86% increase from the UA 5.70 million (USD 7.60 million) recorded in 2023.
The increase in profitability is attributed to several factors, including higher disbursements, a strategic focus on key sectors, and practical resource mobilization efforts.
“EBID outperformed its five-year resource targets by 34%, securing UA 1.59 billion against an expected UA 1.19 billion,” Dr. Donkor stated. He noted that bilateral loans were particularly successful, achieving 170% of their target, indicating strengthened bilateral partnerships. Additionally, bond issuances in the UEMOA market exceeded projections at 114%, reflecting growing confidence in capital markets, while ECA/commercial funds were close to the target at 94%.
The inaugural ECOWAS Investment Forum (EIF) 2024 was recognized as significant in addressing regional economic challenges and promoting sustainable development in West Africa.
Seedy Keita, the Minister of Finance and Economic Affairs and the outgoing chairman of the Board of Directors reported that the International Monetary Fund (IMF) projected ECOWAS’s economic growth at 4.1% in 2024, an increase from 3.8% in 2023. This growth is attributed to more stable prices and heightened activity in agriculture and services.
Inflation in the region showed a slight decrease, averaging 20.0% in 2024, down from 20.6% the previous year.
Keita noted that this decline reflected the effects of reduced food prices and fiscal consolidation efforts, particularly within the West African Economic and Monetary Union (WAEMU). He also highlighted a modest decline in the debt-to-GDP ratio for ECOWAS, projected to reach 53.1% in 2024 from approximately 54.0% in 2023, supported by improved external balances and fiscal discipline, even as debt sustainability continued to be a concern for some member states.
Despite global and regional challenges, Keita commended EBID for its resilience and growth in 2024. The Bank’s cumulative commitments rose 11.68% to UA 2.8 billion (approximately USD 3.7 billion) across 194 operations, exceeding the regional GDP growth forecast of 4.0%. Additionally, EBID’s interest income increased by 12.5%, with profits rising by 12.9% to UA 6.43 million (about USD 8.55 million).
During the meeting, Muhammed B Jallow, Vice President of The Gambia, expressed satisfaction that the Governors elected Seedy Keita to continue as Chairman of the Board of Governors.
The vice president highlighted that geopolitical conflicts and leadership transitions have emerged as significant threats to global growth. In his assessment, the global economy in 2024 confronted a complex set of challenges, including geopolitical instability, differing monetary policies, structural vulnerabilities, and risks associated with climate change.
Amid these challenges, the ECOWAS Bank for Investment and Development (EBID) has experienced difficulties and accomplishments throughout its journey. The organization has navigated economic instability, geopolitical issues, and the impacts of a global health crisis while striving to promote regional economic development and resilience.
