This summary covers an application made by Meridiam Africa Investments SAS (Meridiam), a global developer, investor and asset manager specializing in public and community infrastructure, for MIGA to provide political risk insurance (PRI) covering its investments in Dakar Mobilité SA (DM) in the Republic of Senegal.
Meridiam is seeking MIGA PRI for a period of up to 15 years against the risks of Expropriation (Expro), Transfer Restriction and Inconvertibility (TR), War and Civil Disturbance (WCD), and Breach of Contract (BoC). Based on the current investment structure, MIGA’s gross and net exposure will be up to €20.8 million.
The project involves the acquisition of rolling stock and associated equipment for, and the operation and maintenance (O&M) of, the first Bus Rapid Transit (BRT) network in Dakar (the Project), for a period of 15 years. With a total length of 18.3 km, the BRT route extends from downtown Dakar to suburban Guédiawaye. Serving some of the city’s most populated areas, it is expected to become a major traffic route and enhance urban mobility in Dakar.
The Project is a category A project under MIGA’s Policy on Environmental and Social Sustainability. Click here to view the Environmental and Social Review Summary.
The Project’s key expected development impacts are: (i) consumer quality benefits driven by travel time savings and improved passenger experience; (ii) high quality employment opportunities; and (iii) climate mitigation benefits derived from the adoption of electric buses. The Project also has potential demonstration effects encouraging: (i) greater domestic spatial integration and connectivity; and (ii) on the adoption of sustainable technologies and practices.
The Project is consistent with the MIGA Strategy and Business Outlook FY2021-23 priorities of supporting projects in IDA countries and projects with climate benefits.