Benin

éducation, développement, Bénin — © Stéphane Brabrant / AFRIKAFUN / AFD

AFD has been operating in Benin since 1956 and mainly works to improve access to essential services. We are the leading donor for secondary and vocational education and joint leader in the energy sector. AFD, a longstanding partner, is assisting the country towards sustainable growth. It also supports the reduction of poverty and inequalities and the conservation of the environment.

Context

Benin, a West African country bordered by Togo, Nigeria, Burkina Faso and Niger, has a 121 km-long coast on the Gulf of Guinea. It has a population of 10 million, 40% of which lives below the poverty line.

This is because Benin is still one of the least developed countries in Africa despite its political stability and numerous assets. Its agricultural and tourism resources are plentiful, its population is young and its geographical position – close to large markets (Nigeria, as well as its own growing population) – makes it a key centre of transit and one of the countries with the most potential in the region.

But Benin is still too dependent on informal transit trade to neighbouring Nigeria (20% of its GDP) and on agricultural production (25%). It is struggling to meet the needs of its ever-growing population and to provide its private sector with a favourable business climate. The Beninese government needs to overcome the challenges of access to electricity, education and healthcare as well as balanced and sustainable development of its territory.

Benin is one of the priority countries for French aid. As a long-standing partner, AFD has made the country's national challenges a priority. We work alongside public and private actors through loans, donations, guarantees and technical assistance. From 2013, we committed more than €440m to Benin.

AFD's Benin office is directly attached to t he Guf of Guinea regional office in Abidjan.

Our approach

"AFD and Benin: towards sustainable growth"

Benin has a young and rapidly growing population. Access to high-quality education and employment is still one of the main challenges facing the country.

AFD is consequently involved in:

The construction of school infrastructure (1,000 classrooms built)
Teacher training
The retention of girls in school (20,000 beneficiaries)
The teaching of scientific subjects
The development of a high-quality vocational training provision concerning job-creating sectors.

Agriculture is a key sector for Benin’s economy: it employs over 50% of the population and accounts for some 20% of the country’s GDP. AFD supports the development of sustainable and fair agriculture in order to ensure the food security of people. Our action consequently aims to:

Organize sectors and improve the competitiveness and productivity of farms (mainly family farms)
Promote innovative and environmentally-friendly agriculture
Combat malnutrition in rural areas
Strengthen the management of natural resources and land resources
Promote a greater involvement of women and young people.

Only 40% of Benin’s population (including less than 8% in rural areas) has access to electricity. AFD earmarks almost half of its commitments in Benin to combat this energy divide, while promoting the country’s energy transition.

Our projects aim to:

Promote renewable energies. For example, we have financed the construction of one of the largest photovoltaic power plants in West Africa
Upgrade and extend the distribution grid: access to electricity for over 850,000 people
Improve the performance of the national electricity company.

The country’s population growth raises new urban and environmental challenges. At the same time, Benin is one of the countries most exposed to climate change.

AFD promotes inclusive and sustainable urban development, based on resilient cities that take into account the need for adaptation to climate change. The “Porto-Novo, Green City” project and the adaptation of cities to climate change program are emblematic examples of this.

More generally, AFD integrates climate and environmental issues into all its operations, i.e. some 50% of the amounts committed in Benin since 2014.

AFD Group mobilizes all its financial tools (grants, ARIZ and EURIZ guarantees, credit lines) for Benin’s public or private actors. The aim is to facilitate access to financing for microenterprises and SMEs, support the productive sector and “green” investments and create an environment conducive to the development of the private sector.

AFD also supports the digital transition (infrastructure, e-services, civic tech) and innovative entrepreneurs.