TDB Group and the Arab Bank for Economic Development in Africa (BADEA) are pleased to announce the extension of BADEA’s investment commitment in TDB’s African trade fund, ESATF.
With an initial investment of USD 50 million in TDB’s African trade fund ESATF—which has since grown to USD 63 million—BADEA is extending its investment commitment in the fund for an additional period of three years.
To commemorate this occasion, a signing ceremony took place on the sidelines of the African Union’s 38th Ordinary Session of the AU Summit on 14 February 2025 in Addis Ababa.
Managed by TDB’s asset management company, ESATAL (a TDB Group subsidiary), ESATF is an open-ended investment fund established in 2019 to finance short- to medium-term trade transactions, particularly those involving small and medium-sized enterprises (SMEs) across Africa.
Since its launch, the trade fund has grown five-fold—from an initial TDB seed investment of USD 50 million to nearly USD 250 million in assets under management. The fund now boasts a diverse base of 45 investors.
This announcement builds on a decade-long journey of successful collaboration between TDB Group and BADEA—a TDB Group shareholder since 2018—encompassing lines of credit, risk-sharing facilities, and co-financing initiatives. Among various achievements, TDB and BADEA have financed over USD 1 billion in trade, promoting intra-African trade in line with AfCFTA ambitions, as well as trade between Africa and the Gulf region.
“This is a new milestone in the strong and fruitful partnership between BADEA and TDB. The ESATF trade fund reflects BADEA and TDB’s unwavering support for the AfCFTA,” said Dr. Sidi Ould Tah, BADEA President.
“We are pleased to continue strengthening our strategic partnership with BADEA and jointly reaffirm our commitment to fostering trade-led economic and social development. BADEA’s early investment in our African trade fund, ESATF, acted as a catalyst, encouraging a diverse group of investors—from banking institutions and insurance companies to pension funds and high-net-worth individuals—to join in,” said Admassu Tadesse, TDB Group President and Managing Director.
TDB’s asset management company, ESATAL, and its African trade fund, ESATF, form part of TDB Group’s asset and fund management activities, which focus on designing, originating, and growing stand-alone investment vehicles for a wide range of investors and development partners targeting sustainable development activities.
About TDB
Established in 1985, the Eastern and Southern African Trade and Development Bank (TDB) is an African regional development finance group with a mandate to finance and foster trade, regional economic integration, and sustainable development. With an asset base of USD 10 billion, TDB Group has 25 African member states alongside non-regional member countries and institutional investors from Africa, Europe, and Asia.
TDB Group’s subsidiaries and strategic business units include:
• Trade and Development Banking
• TDB Asset Management (TAM)
• Trade and Development Fund (TDF)
• TDB Captive Insurance Company (TCI)
• ESATAL Fund Management Company
• TDB Academy
For more information, visit: www.tdbgroup.org
About BADEA
The Arab Bank for Economic Development in Africa (BADEA) is a multilateral development finance institution owned by 18 sovereign states, members of the League of Arab States. Since its operations began in March 1975, BADEA has provided finance and technical assistance for economic development exclusively in Sub-Saharan Africa.
BADEA works to facilitate and catalyse the flow of Arab and external capital into Africa. Since 2015, the bank has expanded its focus on trade—supporting both Arab-Africa trade and intra-African trade. BADEA is an independent international institution with full legal autonomy, governed by its Establishing Agreement and the principles of international law.
Founded to strengthen economic, financial, and technical cooperation between Arab and African regions, BADEA embodies Arab-African solidarity on principles of equality and friendship. Uniquely, BADEA is among the few multilateral development banks mandated to serve non-shareholder countries.
