MIGA Supports Construction and Operation of Toll Bridge in Côte d’Ivoire
Country’s first public-private partnership in over a decade
View the press release in French
Washington, July 2, 2012—The Multilateral Investment Guarantee Agency (MIGA), the political risk insurance arm of the World Bank Group, announced today that it is supporting the construction and operation of the Henri Konan Bedié Toll Bridge and access roads in Côte d’Ivoire. The new bridge will significantly reduce travel times, improve overall mobility, and alleviate chronic traffic congestion in Abidjan. The project will also provide important demonstration effects for further private sector initiatives in a country that has been severely affected by prolonged civil strife.
The project is structured as a public-private partnership and will be implemented under a 30-year build-operate-transfer concession agreement. It involves the financing, design, construction, operation, and maintenance of the bridge over the Ebrié lagoon and access roads to the north and south between the residential area of Riviera and the industrial area of Marcory. This is the first public-private partnership since the country’s civil war.
MIGA is providing $145 million in guarantees covering equity investments and subordinated loans from Bouygues Travaux Publics of France and Pan African Infrastructure Development Fund of South Africa, subordinated and senior loans from Africa Finance Corporation of Nigeria, and senior loans from BMCE Bank International Plc of the United Kingdom and FMO of the Netherlands. MIGA’s coverage is for a period of 15 years against the risks of transfer restriction, expropriation, war and civil disturbance, and breach of contract.
"Abidjan’s existing bridges and infrastructure are under severe strain and unable to manage the city's growing traffic," said Olivier Bonnin, Directeur Commercial, Bouygues Travaux Publics. "The government has placed a very high priority on this project and we are pleased to be supporting Côte d’Ivoire’s efforts to rebuild."
The project was originally initiated in 1996 but was placed on hold due to the prolonged civil conflict in the country. "Rebuilding infrastructure is necessary to restore stability and underpin Côte d’Ivoire’s promising growth," says Michel Wormser, Vice President and Chief Operating Officer for MIGA. "MIGA can play a critical role in helping to secure private sector participation in environments where the perception of risk remains elevated. The project also underscores our commitment to faciliate investment in fragile and conflict-affected countries."
MULTILATERAL INVESTMENT GUARANTEE AGENCY
A Member of the World Bank Group
1818 H Street, NW, Washington, DC 20433
Mallory Saleson, MIGA
Tel: +1 202 473-0844
Rebecca Post, MIGA
Tel: +1 202-473-1964
Cara Santos Pianesi