Benin Joins European Bank for Reconstruction and Development: A Milestone for Sub-Saharan Africa

Benin has made history by becoming the first sub-Saharan African country to join the European Bank for Reconstruction and Development (EBRD), marking a significant milestone in the region’s economic development. The country’s membership was approved by the EBRD’s Board of Governors in October 2023, making Benin the 75th shareholder of the Bank.

The process began when Benin submitted a request to join the EBRD in July 2023, which was subsequently approved after careful consideration by the Board of Governors. This decision reflects the EBRD’s commitment to expanding its operations to new regions and supporting countries in transition.

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During the EBRD’s 2023 Annual Meeting in Samarkand, the Board of Governors also approved an amendment to the Agreement Establishing the Bank, enabling the limited expansion of its operations to sub-Saharan Africa and Iraq. Once this amendment is formally accepted by the majority of the EBRD’s shareholders, the Bank will be able to move forward with Benin’s request to become a country of operation.

As a recipient country, Benin stands to benefit from the EBRD’s financial assistance and policy support, which will contribute to the structural transformation of its economy, improve the business climate, and revitalise the private sector. This, in turn, will have a positive impact on the living conditions of the population.

EBRD President Odile Renaud-Basso expressed her enthusiasm for welcoming Benin as the first sub-Saharan African country to join the Bank. She emphasised the Bank’s commitment to partnering with Benin and leveraging its expertise to support private-sector development and sustainable growth in the country.

In response, Romuald Wadagni, Benin’s Minister of Economy and Finance, expressed delight at joining the EBRD and stressed the country’s intention to attract resources necessary for economic transformation. He highlighted the importance of improving the business climate and revitalising the private sector to enhance the well-being of the population.

Benin’s membership in the EBRD not only underscores the country’s commitment to economic development but also opens up new opportunities for collaboration and investment in sub-Saharan Africa. As the EBRD continues to focus on supporting countries in transition and promoting sustainable change, Benin’s inclusion marks a significant step towards building a more inclusive and prosperous future for the region.