Ivory Coast will host one of the largest drinkable water plants in West Africa

The construction of a new water plant on the outskirts of Abidjan comes within the national “Water for All” programme, which has been created in order to alleviate the increase in demand for clean water anticipated from 2025, especially in the deprived districts of the city. Indeed, over eight million people lack access to sanitations facilities, with over four million people still lacking access to safe drinking water. Even today, many children die daily from diarrhoeal and other water-borne diseases.

The water supply system will be close to the road to Grand Alépé, 25km north-east of the capital, and will treat the water from La Mé river. Thanks to its huge capacity, the plant will provide 240 million litres of potable water a day, thereby improving living conditions. This project will allow a more sustainable management of the aquifer around Abidjan preventing both the depletion and pollution of ground water resources.

PFO Africa, an Ivorian company specialising in construction and public works and the project’s contractor, has signed a strategic agreement with VÉOLIA Africa, cementing a partnership officially started in September 2018. Together the two companies will build a pipeline that is 28km long and two water towers, each of which is of 5,000m³. Construction is expected to last 30 months.

We are very proud to carry out this structuring project for the Ivory Coast government, which was possible thanks to the collaboration with our partner VEOLIA, and Societe Generale’s financial structuring. This is one of the most important projects in the drinking water sector in West Africa. 
Clyde Fakhoury, Administrative Director, PFO Africa.

Development of basic infrastructure such as water sanitation and distribution facilities are crucial to achieving sustainable development and empowering communities in Ivory Coast. By financing the construction of a potable water plant, Societe Generale has [modestly] assisted in the meeting of the following United Nations’ Sustainable Development Goals

• #1 End poverty in all its forms everywhere;
• #6 Ensure access to water and sanitation for all;
• #9 Build infrastructure, promote sustainable industrialisation and foster innovation.

Moreover, the Government of Côte d’Ivoire has undertaken to apply the highest environmental and social international standards to mitigate the potential negative impacts of the project, particularly during the construction phase. The project and the management of its impacts will comply with the IFC Performance Standards and the World Bank Group EHS guidelines.

Societe Generale is proud to contribute to the development of such a strategic project for Ivory Coast by combining the strength of our local network and our capabilities in export finance. We are firmly committed to a sustainable future for Africa and this is a great motivation for our teams.
Hacina PY, Global Head of Export Finance.

Societe Generale arranged loans to finance the construction of this€253m project for PFO Africa and the Republic of Ivory Coast. Export Finance was Mandated Lead Arranger, Lender and Agent of the Euro denominating financing, including a French export insurance guarantee, when the structured finance platform (SFG) in Abidjan acted as Mandated Lead Arranger and Agent of the FCFA denominated tranches, with the support of Societe Generale Côte d’Ivoire and Societe Generale Burkina Faso.  Thanks to this transaction, Societe Generale won TFX’s Best Sustainable ECA-backed deal of the year in June 2019.

This deal was made possible by our well-integrated international setup, combining the work of the local Societe Generale affiliate with the Export Finance team in Paris. We are very proud that their innovative combined solution, supported by BOAD, will enable Ivory Coast to confront the serious threat of lack of fresh water in Abidjan.
Philippe le ROCH, Head of Structured Export Finance for Africa.

Furthermore, this Positive Impact Project fits the Group’s strategy and its commitment to foster positive transformation across the African continent.

Learn more about the “Grow with Africa” programme launched in November 2018.