Shelter Afrique Development Bank (ShafDB) has received confirmation from S&P Global Ratings that its Sustainability Finance Framework aligns with internationally recognized standards for green, social and sustainability financing, strengthening the institution’s plans to raise capital for housing and urban development projects across Africa.
The independent assessment found that the framework complies with the International Capital Market Association (ICMA) Green Bond Principles, Social Bond Principles and Sustainability Bond Guidelines, providing investors with assurance that funds raised will be directed toward projects delivering measurable environmental and social benefits.
The confirmation comes as ShafDB prepares to issue bonds in West and East African capital markets, including a planned FCFA-denominated bond programme in the West African Economic and Monetary Union (WAEMU) market and future multi-currency issuances in East Africa.
Developed with technical support from the Global Green Growth Institute (GGGI) through the Global Trust Fund for Sustainable Finance and in collaboration with the Duchy of Luxembourg, the framework establishes guidelines for the issuance of Green, Social and Sustainability (GSS) financing instruments.
Under the framework, proceeds from future bond issuances will be used to finance or refinance eligible projects, including affordable housing for low- and middle-income households, socially inclusive housing developments, green residential buildings, energy- and water-efficient homes, and climate-resilient housing infrastructure.
The investments are expected to contribute to addressing Africa’s growing housing shortage while supporting climate adaptation, environmental sustainability and inclusive economic growth.
ShafDB Managing Director, Thierno-Habib Hann, said the assessment reinforces the bank’s commitment to financing projects that generate both social and environmental impact.
“This rating reflects our alignment with international best practices and reinforces ShafDB’s strategy to finance projects with meaningful environmental and social impact while mobilising sustainable capital for affordable housing, climate resilience and urban development across Africa,” he said.
Director of Treasury at ShafDB, Nabil Mahfoudh, said the framework would enable the institution to tap into the expanding global sustainable finance market and diversify its funding sources.
He noted that future green, social and sustainability bond issuances would help channel capital into projects that deliver measurable benefits to communities and the environment.
GGGI Africa Regional Director, Katerina Syngellakis, described the development as an important step in mobilising investment for climate-resilient and inclusive housing across the continent.
“GGGI is proud to support Shelter Afrique Development Bank in establishing a Sustainable Finance Framework that will help mobilise capital towards affordable, climate-resilient and inclusive housing across Africa,” she said.
Established in 1982 and headquartered in Nairobi, ShafDB is a pan-African multilateral development bank focused on financing housing, urban development and related infrastructure.
The institution is owned by 44 African governments alongside the African Development Bank (AfDB) and African Reinsurance Corporation (Africa Re).
The latest endorsement is expected to enhance investor confidence as the bank expands its role in financing sustainable housing solutions and urban infrastructure projects across the continent.
