CalBank signs USD 105 million credit facilities with Proparco, IFC, Norfund and Finnfund to support the private sector in Ghana.
Accra, Ghana, 17th August 2018. PRESS RELEASE
CAL Bank Limited has signed a US$ 30 million senior loan Credit Agreement with
PROPARCO, the French government development finance institution, to support the financing
needs of Ghanaian private sector companies. At least one third of this funding is earmarked for
renewable energy and energy efficiency projects in Ghana.
PROPARCO has been a decades-long partner to CalBank, supporting the bank with credit
lines for over 20 years, and in 2012 scaled up the partnership with a US$ 7 million equity
investment in the Bank. This Credit Agreement is Proparco’s 5th transaction with Calbank since
it granted its first loan to the Bank in 1998.
International Finance Corporation (IFC): CalBank has also signed a 5-year agreement with
IFC for US$ 50 million. The loan, which is designated to fund CalBank’s SME lending
operations, will be devoted to women-owned businesses and energy efficiency projects. This is
IFC’s 2nd transaction with CalBank in two years. Earlier in 2017 IFC and CalBank signed a loan
agreement for US$ 15 million to fund SME activities. IFC was a founding shareholder of
CalBank in 1990.
NORFUND, the Norwegian Investment Fund for Developing Countries, has also signed a US$
10 million agreement with CalBank, whilst FINNFUND, the Finnish Development Finance
Company has signed a US$ 15 million agreement with CalBank, both for 3 years, to finance
CalBank’s lending to Ghanaian SME businesses.
Commenting on the transactions, MD of CalBank, Mr. Frank Adu Jnr, stated: “The signing of
these agreements attests to the confidence PROPARCO, IFC, Norfund & Finnfund continue to
repose in CalBank as a leading player in the Ghanaian banking sector. We have strengthened
our ability to support the development of Ghanaian SME’s, particularly our diligent women
entrepreneurs. CalBank has always been dedicated to protecting our environment as per the
UN Sustainable Development Goals (SDG), particularly the goals of Affordable & Clean Energy;
Industry, Innovation and Infrastructure and finally Climate Action. Consequently, CalBank will
commit a significant portion of this funding to support businesses engaging in renewable
energy as infrastructure projects. These business segments are strategic to Ghana’s
development. Accessing this capital for SME growth is a key part of CalBank’s planned strategic
framework and our capital plan. This will enable us build on our creditable performance over
the past years, strengthen our financial position and enhance value for our customers,
shareholders and partners”.
FOR FURTHER INFORMATION:
Philip Owiredu (Chief Financial Officer): +233 (0)302 680 264
Dzifa Amegashie (Head, Investor Relations): +233 (0)302 685 091
Notes to the Editors:
The Bank commenced operations as a local merchant bank in 1990 with the sole aim of
providing truly differentiated world-class banking solutions. CalBank acquired a Universal
Banking License in 2004 and in the same year undertook an initial public offer that was 4.5
The operations of the Bank are backed by experienced managers in key functional areas with
a combined experience of over 100 years in banking and finance. The CalBank team provides
the required solutions to clients and is supported by a strong IT platform that has seen the Bank
being recognized for its innovative products in ICT & Electronic Banking since 2007.
Operations and Subsidiaries
CalBank’s growth strategy is to focus on the growing Ghanaian corporate business sector. Since
2006, the Bank has developed its retail banking operations with specialized products and
services to serve the needs of its growing retail clientele. The Bank currently has three wholly
owned subsidiaries. CalBrokers is a locally incorporated securities broker and a licensed dealing
member of the Ghana Stock Exchange. CalAsset Management is licensed as a fund manager
and investment advisor by the Securities & Exchange Commission of Ghana. CAL Bank
Nominees Limited (“CAL Nominees”) holds and administers assets as a custodian.
The Bank has embarked on an expansion program and will continue to expand its footprint by
increasing the number of branches throughout the country. Internationally, CalBank benefits
from strong correspondent banks all over the world. This enables us handle all international
transactions quickly and effectively.
More information available at: www.calbank.net /www.calbank.investoreports.com