The African Development Bank Group and Nedbank Group have signed a landmark partnership to expand access to affordable housing in South Africa and strengthen trade across Africa. The financing package includes a ZAR 2.5 billion social bond investment in Nedbank Group Limited and a $60 million trade finance Risk Participation Agreement with Nedbank Limited of South Africa. Together, these initiatives aim to narrow the continent’s trade finance gap, accelerate intra-African trade, and improve access to housing, both of which are key drivers of inclusive economic growth.
The social bond, listed on the Johannesburg Stock Exchange and channeled through Nedbank’s Sustainable Finance Fundraising Framework, will prioritize affordable housing for women, first-time homeowners, and green-certified units. This aligns with both institutions’ commitments to gender equality, climate resilience, and financial inclusion. Kennedy Mbekeani, African Development Bank’s Director General for Southern Africa, emphasized that the partnership builds on nearly two decades of collaboration with Nedbank and unlocks critical financing for underserved communities while strengthening the financial system’s resilience.
The $60 million trade finance Risk Participation Agreement provides credit risk coverage for Nedbank’s partnerships with local banks issuing documentary letters of credit and other trade instruments across Africa, including Low-Income Countries and Transition States. This mechanism aims to close the continent’s trade finance gap and facilitate faster intra-African trade. Jason Quinn, Chief Executive of Nedbank Group, highlighted that the initiative mobilizes funding for affordable housing and trade finance, supporting inclusive growth, sustainable development, climate resilience, and economic transformation through purpose-driven financing.
Ahmed Attout, Director for the Financial Sector Development Department at the African Development Bank, noted that the partnership builds on previous support, such as Nedbank’s inaugural green bond in 2020, and underscores the Bank’s leading role in bridging Africa’s trade finance gap. The initiative aligns with the African Development Bank’s Ten-Year Strategy (2024–2033) by promoting industrialization, regional integration, and improved quality of life. By combining innovative housing finance with trade facilitation, the agreement advances inclusive and sustainable economic development across the continent.
