Shelter Afrique Development Bank (ShafDB) partnered with the Bourse Régionale des Valeurs Mobilières (BRVM) and Monetary Union (WAEMU) on Tuesday to mobilize capital for affordable housing projects across the continent.
With Africa’s housing deficit surpassing 53 million units, the MOU creates a collaborative framework to tackle this pressing issue through innovative financial instruments such as Green, Sustainability-Linked, and Social (GSSS) bonds.
The partnership will also explore the creation of Real Estate Investment Trusts (REITs) to further mobilize funding for housing initiatives.
The agreement was formalized during a signing ceremony in Washington D.C., coinciding with the IMF-World Bank Group Annual Meetings. It was attended by Dr. Edoh Kossi Amenounve, CEO of BRVM, and Thierno-Habib Hann, CEO of Shelter Afrique.
This strategic alliance is poised to enhance the financial landscape for sustainable housing development within the eight WAEMU member countries: Benin, Burkina Faso, Côte d’Ivoire, Guinea-Bissau, Mali, Niger, Senegal, and Togo.
Collaboration Focus Areas
The collaboration will involve the design and implementation of an issuance plan for debt securities on the BRVM regional financial market. Additionally, both organizations will investigate the potential of sustainability-linked bonds, promoting green, gender-focused, Islamic, and diaspora bonds to finance housing in the WAEMU region.
The partnership will also facilitate knowledge exchange, technical support, and joint research initiatives to advance their shared goals.
During the signing ceremony, Thierno-Habib Hann underscored the importance of the MOU in addressing the continent’s housing challenges. “This partnership with BRVM marks a significant milestone for Shelter Afrique Development Bank. Given the urgent need to combat Africa’s housing deficit, this MOU enables us to mobilize the necessary capital for the development of affordable and sustainable housing across the region,” Hann stated.
Echoing this sentiment, Dr. Edoh Kossi Amenounve highlighted the collaboration’s potential to invigorate investment in Africa’s housing market.
“BRVM is honored to partner with Shelter Afrique Development Bank to enhance investment flows into the housing sector. This collaboration aligns perfectly with our mission to develop capital markets and support sustainable growth within the WAEMU region,” Amenounve remarked.
As both organizations move forward, their combined efforts are expected to significantly impact affordable housing financing in Africa, addressing a critical need for millions.
