New financing will support an initiative to relocate Dakar’s port and its operations from the city centre to a new greenfield site.
Private Infrastructure Development Group (PIDG) company, the Emerging Africa Infrastructure Fund (EAIF) invested XOF8.3bn (approx US$15m) in a local currency capital market bond issue by Senegal’s Port Autonome de Dakar (PAD), the owner of the Port of Dakar. The bond raised over XOF60 billion (US$107million). The issue marks the start of the process of relocating the port.
M Aboubacar Sedikh BEYE, managing director of Port Autonome de Dakar, said: “Creating a great new port to serve west African economies on a new site is one of the foundation stones of building a more successful, more prosperous and greener future for Senegal. It is of great benefit to Port Autonome de Dakar to have EAIF and PIDG supporting us in this venture.”
The proceeds of the PAD bond will help fund phases one, two and three of the move of the Port of Dakar from the centre of the city to a 1200-hectare deep water port at Popinguine-Ndayane.
Capable of accommodating ships with a draught of up to 16.5m, the “4th generation” port is designed to have a faster turnaround time than the current port. It will deal with container trade initially, followed by ro-ro traffic, then other activities.
PAD have developed a “green port” strategy that aims to minimise the new port’s carbon footprint. The plan includes a commitment to a large-scale tree-planting programme to help deforestation in other parts of the country. By moving the port, congestion and pollution in the city will also be reduced.
The project is forecast to have a 10-15-year construction period.
