Senegal’s state-owned electricity utility Senelec has listed CFA108 billion ($187 million) in sustainability-linked bonds on the Luxembourg Stock Exchange (LuxSE), marking the company’s first international bond listing. The transaction is designed to expand Senelec’s access to global investors while supporting Senegal’s clean energy and sustainable development goals.
The bond issuance has also been admitted to the Securities Official List of the Luxembourg Stock Exchange and is featured on the Luxembourg Green Exchange (LGX), a platform dedicated to environmental, social, and governance (ESG) investments. The listing is expected to strengthen Senelec’s visibility among international investors seeking sustainable finance opportunities.
Approximately 52.5% of the proceeds will be invested in renewable energy and energy efficiency projects as part of Senegal’s energy transition strategy. The remaining funds are linked to sustainability performance targets, including reducing electricity transmission losses and expanding access to electricity across the country.
The financing is structured as a securitization backed by electricity receivables, with outstanding customer invoices serving as the underlying assets for the bond issuance. This approach enables Senelec to raise capital upfront while repayments are made through collections from electricity bills.
The transaction is considered a milestone for African capital markets as it combines green bond financing with sustainability-linked bond features in a single issuance. It is also the first securitization by an African public utility backed by electricity receivables to incorporate both financing mechanisms.
By securing long-term sustainable financing, Senelec aims to diversify its funding sources, strengthen investment in energy infrastructure, and support Senegal’s target of increasing the share of renewable energy in the national electricity mix to 40% by 2030.
