The ECOWAS Bank for Investment and Development (EBID) has secured a landmark $30mn equity investment from the African Development Bank Group (AfDB), making the pan-African lender the first international development finance institution to join EBID's shareholder base as the regional bank pursues an ambitious transformation strategy aimed at scaling up development finance across West Africa.

The investment, approved by the AfDB board on June 17 in Abidjan, is accompanied by a $70mn long-term credit line designed to finance high-impact projects, particularly in renewable energy. Together, the two operations mark a significant shift in EBID's capital structure and funding model, opening the institution to strategic external shareholders for the first time.

The transaction represents the first major change to EBID's ownership structure since its establishment, with the bank previously owned exclusively by member states of the Economic Community of West African States (ECOWAS). The move forms part of EBID's Growth, Resilience and Optimisation (GRO) Strategy 2026-2030, which seeks to strengthen the bank's balance sheet, improve governance and expand its ability to mobilise long-term resources.

By bringing in AfDB as a shareholder, EBID expects to improve its standing with international investors and credit markets, enhance governance standards and increase access to concessional and commercial financing. Officials believe the partnership will also facilitate co-financing arrangements and strengthen the institution's role as a catalyst for regional development.

The $70mn credit facility is expected to support projects with substantial social and environmental impact. According to the two institutions, the financing could mobilise as much as $230mn in total investment, improve access to electricity for more than 250,000 households and reduce carbon emissions by approximately 355,500 tonnes annually. Much of the financing is expected to target solar, wind and other clean-energy projects across West Africa.

"The entry of the African Development Bank Group into EBID's shareholding constitutes a historic and transformative milestone for our institution," EBID president and chairman George Agyekum Donkor said.

"This strategic partnership reflects strong confidence in our vision and development model. It marks a decisive step in the implementation of our strategic plan by strengthening our capacity to mobilise large-scale resources and expand our impact in support of sustainable development in West Africa."

He added that the partnership would accelerate efforts to address financing gaps in energy, infrastructure and private sector development, areas where investment needs continue to outstrip available capital.

The development comes at a time when West African economies face widening infrastructure deficits and growing demand for electricity. The region still suffers from some of the world's lowest rates of power access, while rapid urbanisation and industrialisation are increasing pressure on existing infrastructure networks.

Multilateral lenders have increasingly emphasised blended finance and partnerships with regional institutions to mobilise private capital and close funding gaps. The AfDB has made energy access a core priority under its "Light Up and Power Africa" strategy and has committed billions of dollars to electricity generation, transmission and clean-energy investments across the continent.

Founded in 1975 as the ECOWAS Fund and transformed into EBID in 1999, the bank serves as the development finance arm of the regional bloc. It finances both public and private sector projects in infrastructure, energy, industry, agriculture and social services. In recent years, the institution has expanded its lending portfolio and sought to strengthen its capital base amid rising demand for development financing.

EBID's transformation agenda also aims to improve operational efficiency, reinforce governance frameworks and diversify funding sources beyond traditional sovereign contributions. Bringing AfDB into the shareholder structure is expected to pave the way for additional strategic investors and strengthen the bank's long-term financial sustainability.

The transaction underscores a broader trend among African development finance institutions toward greater cooperation and capital mobilisation to support the continent's energy transition and economic integration. Officials hope the partnership will help accelerate regional infrastructure development and deepen economic ties among ECOWAS member states.