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Proparco has allocated a loan to African Banking Corporation Botswana (BancABC Botswana) to support the bank’s activity for SMEs and commercial companies
Client presentation

BancABC Botswana is part of the group with the same name which operates in Southern Africa. It is a subsidiary of Atlas Mara, a long-term partner of Proparco. Since 1986, it has gradually been transforming its activity into a fully-fledged commercial bank. ABC is the 4th or 5th leading bank in the country. Among these 5, ABS is the only one that is not a subsidiary of a major international banking group. With its recent listing on the Botswana Stock Exchange, it is considered as a local People’s Bank. 

Project description

For this 1st financing in Botswana, Proparco wanted to support BancABC’s strategy to diversify towards a corporate and SME customer base. This financing is strengthening the bank’s regulatory capital and providing it with resources for its development. It is part of extensive support to this bank. Indeed, it is subsequently planned to provide it with technical assistance and ARIZ guarantees

Project impact

The expected impacts of this financing are as follows:

  • Support for over 650 direct jobs over the next five years (including over 400 jobs held by women), as well as some 4,100 indirect jobs in the 32 SMEs and 11 corporates potentially supported by BancABC through Proparco’s financing.
  • A 66% increase in the SME client base of BancABC, which should have some 330 SMEs in its portfolio over the next five years. 
16/04/2020
Date of signature of the project
Botswana
Location
Financing tool
9 114 108 Euros
Amount of funding
USD 10m loan
Financing details
African Banking Corporation of Botswana Limited
Client
CES