Shelter Afrique, a Pan-African multilateral development bank focused on housing, has announced plans to issue a $500 million (approximately Sh64.83 billion) sustainability-linked bond in the first quarter of 2027. This bond will primarily target East African countries including Kenya, Uganda, Tanzania, and Rwanda.
A sustainability-linked bond is unique as its financial terms can change based on the issuer’s success in meeting designated environmental, social, or governance (ESG) objectives. This innovative financing approach aims to mobilize resources for sustainable housing projects in the region.
Thierno-Habib Hann, the Managing Director and CEO of Shelter Afrique, highlighted the importance of local market engagement during his remarks at the second Bullish Africa Summit in New York. He noted that the organization is currently active in West Africa, issuing 60 billion CFA francs to support housing initiatives in local currencies.