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IFC Leads New Eiffage Financing for Dakar Toll Road Expansion


In Dakar
Zibu Sibanda

Phone : +221-777-400-238

Email : zsibanda@ifc.org


In Washington

Serene Jweied

Phone +1-202-473-8764

Email:
sjweied@worldbankgroup.org


Dakar, Senegal, 6 January, 2015 — IFC, a member of the World Bank Group, and Eiffage, a leading European public works and concessions firm, today announced a financing agreement for the extension of the Dakar toll road in Senegal. This road will connect central Dakar with a new international airport and the nearby rural areas, spurring economic growth, employment and new opportunities that contribute to poverty reduction by facilitating transport between key infrastructure and outlying areas with the capital city.

The existing Dakar toll road was inaugurated in August 2013 by SENAC, the Senegalese concession company set up by Eiffage. As the first greenfield toll road public-private partnership in West Africa, this is widely considered a flagship project for Senegal and the region. The 25 kilometer toll road has markedly improved urban mobility by reducing commute times between central Dakar and its outlying neighborhoods from more than two hours to less than 30 minutes.


IFC acted as the lead arranger and global coordinator of a €76 million debt financing package to SENAC. IFC’s own investment in SENAC to finance both the existing Dakar toll road and its expansion will now reach €26 million, including senior and subordinated long-term debt for IFC’s own account. An additional €50 million has been mobilized from the Western African Development Bank, the African Development Bank and CBAO, one of the main Senegalese commercial banks.  


“IFC’s financing for the Dakar toll road significantly improves urban mobility and eases the daily commute for tens of thousands of people,” said Bertrand de la Borde, IFC Head for Infrastructure in Africa. “This new agreement confirms the benefits of collaboration between governments, private sector operators and development institutions to establish the infrastructure projects essential to Africa’s development.”


The planned 17 kilometer expansion will require approximately €130 million in total new investment in the project carried out by SENAC, through a 25-year concession contract to design, build, operate and maintain the dual carriageway toll road. This expansion will connect the existing motorway to Dakar’s new international airport, and to the seaside tourism areas on the coast while streamlining the road link between Dakar and Thiès, Senegal’s second most populous city.


“The secret to the success of the complex Dakar toll road project lies in the effective collaboration and strong relationships between the government, the financiers and the developers,” said Didier Payerne, Effiage Chief Operating Officer. “Our new agreement to finance the extension is the result of the strong partnership established on the existing project.”


By filling a missing motorway link, this extension is expected to play a significant role for the development of the Senegalese road network. The important transport project supports economic development in line with the objectives of the Emerging Senegal Plan.


About IFC

IFC, a member of the World Bank Group, is the largest global development institution focused exclusively on the private sector. Working with private enterprises in about 100 countries, we use our capital, expertise, and influence to help eliminate extreme poverty and boost shared prosperity. In FY14, we provided more than $22 billion in financing to improve lives in developing countries and tackle the most urgent challenges of development. For more information, visit
www.ifc.org

About Eiffage

Eiffage is a leading player in the European concessions and public works sector, operating through five business lines:  concessions and public-private partnerships, construction, public works, energy and metallic construction. These interlocking areas of expertise enable the group to tackle extremely ambitious projects such as the Millau viaduct, built and operated entirely by Eiffage, and Pierre-Mauroy stadium (Lille), which was delivered in 2012. Other projects illustrating the group’s scope of activity include the A65 Pau-Langon motorway (France), Norscut motorway (Portugal), the Rail link Perpignan-Figueras (France-Spain) et and Rail HSL Bretagne-Pays de Loire (France), in addition to the Southern Paris Region hospital center and the national police headquarters. The combined experience of more than 68,000 employees helped Eiffage to generate revenues of more than €14.3 billion in 2013, of which 15 percent is generated from international projects in around fifteen, mainly European, countries. Some 85 percent of Eiffage employees in France are also group shareholders. For further details please visit the Group’s website: www.eiffage.com