AfDB’s concessional fund eyes $1bn bond sale as donor support wanes

• AfDB concessional arm seeks $1bn via first-ever bond sale
• Donor shortfalls force rethink of Africa’s poorest financing

ABIDJAN, COTE D’IVOIRE – The concessional arm of the African Development Bank Group is preparing to raise about $1bn on capital markets as shrinking donor support forces a rethink of how Africa’s poorest countries are financed.

People familiar with the plans say the African Development Fund is seeking a credit rating and laying the groundwork for a debut bond issuance within two years, marking a major shift in how the fund raises money.