BIIC KEY EU AGRI-VALUE CHAINS & GENDER MBIL

Multiple beneficiary intermediated loan (MBIL) fully targeted at agricultural value chains, with at least 70% dedicated to key value chains (soy, cotton and cashew) and a 40% cross-cutting objective of gender inclusion, in line with the 2X Challenge.

The loan will be used to finance small and medium-sized enterprises (minimum 70% of the loan) and mid-caps (maximum 30% of the loan). The loan will be fully targeted at agriculture value chains . At least 70% of the loan amount will be allocated to the most EU-relevant agricultural value chains (soy, cotton and cashew), which are critical inputs for European textile and agri-food industries. In line with the 2X Challenge criteria, at least 40% of the financing will target businesses owned or led by women, supporting gender equality and the economic empowerment of women across key export-oriented value chains.

The EIB intermediated loan to BIIC will address persistent market failures in Benin, where agri-business SMEs face significant barriers to finance due to short loan tenors, high collateral requirements, and limited access for women entrepreneurs. Aligned with the EU's Global Gateway and NDICI priorities, the operation supports Benin's Programme d'Actions du Gouvernement and the African Union's Agenda 2063, fostering sustainable and inclusive economic growth.

By directing at least 70% of financing to key export-oriented value chains ? cotton/textile, cashew, and soy ? the project will drive economic diversification, job creation, and compliance with EU sustainability standards. It is expected to sustain approximately 5,000 full-time jobs and enhance access to finance for women, supporting the 2X Challenge gender target. The operation complements, rather than competes with, existing financial sector efforts and catalyses additional investment.

Flexible loan terms and a dedicated Technical Assistance programme will strengthen BIIC's capacity in agricultural financing, risk management, and ESG practices, while supporting SMEs and cooperatives in preparing bankable projects and achieving EU-recognised certifications. The operation will contribute to several SDGs, address socio-economic drivers of migration, and reinforce Benin's economic resilience.

The Bank will require the intermediary institution to take all the requisite measures to ensure that the final beneficiaries undertake to implement and operate the sub-projects receiving Bank's financing in compliance with applicable national legislation and the relevant ElB's Environmental and Social Standards, as well as international treaties and conventions signed and ratified by or otherwise applicable and binding in the country. Due to its thematic focus, this operation will contribute to gender equality and women's economic empowerment and will support capacity development and resilience of individuals working in agriculture value chains.

The Bank will require the intermediary institution to take all requisite measures to ensure that any procurement procedures carried out by final beneficiaries for the sub-projects that the Bank finances are in accordance with the Bank's Guide to Procurement.

Under EFSD+ Guarantee