TDB to continue to support Seychelles' economy, says bank's president

Tadasse met President Wavel Ramkalawan at State House on Monday. (Seychelles Nation) 

The Eastern and Southern Africa Trade Development Bank (TDB) is looking to boost the housing and health care sectors among others in the Seychelles, a top official said on Monday.

The president of the TDB, Admassu Tadasse, made the statement to the press after a courtesy call on President Wavel Ramkalawan at State House.

"We talked about what we have done to support the economy of Seychelles in the past and what's ongoing and what we are going to continue to do in the future," he added.

Tadasse and his delegation are in Seychelles to discuss the ways through which the two parties can work together.

"We are helping to build the capital markets for equity and for bonds, but we are also looking at the housing and health sectors in addition to real estate," he explained.

The latest deal in the works between Seychelles and the bank is helping Air Seychelles pay off its debt to Etihad.

"Based on the negotiations with the administrators and creditors, the government has taken out a loan with the Trade Development Bank to repay this liability with Etihad which helps to remove the securities on the two twin otters," said Hassan to members of the National Assembly last week.

The Seychelles' national carrier announced a rescue plan in January this year, in which Seychelles will pay off only $27.8 million out of the $76 million initial debt owed to bondholders. The national airline's rescue plan was made in an agreement between the company's administrators and creditors.

The bank has already been active in the tourism sector and Tadasse said that "going forward we are quite excited to continue our journey of being a reliable and strong partner of Seychelles' economic development process."

The Eastern and Southern African Trade and Development Bank (TDB) was established in 1985 and is an investment-grade development finance institution. It serves 22 economies in its region and has the mandate to finance and foster trade, regional economic integration, and sustainable development.

In Seychelles, the bank was involved in the acquisition of Cable & Wireless Seychelles from Liberty Latin America, by CWS Investment Ltd – a group of Seychellois entrepreneurs. The deal carried out in November 2019, is also the financial institution's biggest deal in Seychelles in a decade with a total size of $107.5 million and $70 million, which was arranged by TDB.