The Board of Directors of the African Development Bank Group (AfDB) on Friday, November 17 approved a loan of $33 million to Seychelles to implement Phase III of the Governance and Economic Reforms Support Program.
After Phases I and II, the results were considered satisfactory. The third phase will focus on consolidating and deepening the reforms to strengthen the country’s economic resilience and help it tackle climate change.
Among other things, it will strengthen budget sustainability through improving tax revenue collection. At the same time it improve governance in the public sector.
Tax will be collected in state-owned enterprises (SOEs). Consequently, this will strengthen the anti-money laundering and counter terrorism (AML/CFT) financing framework.
AfDB will help to create a better quality opportunities for the population of Seychelles by supporting budgetary consolidation efforts and contributing to reducing debt vulnerability.
This will translate into reforms aimed at removing constraints associated with the business environment and allow local microbusinesses and SMEs to participate more effectively in international trade, while encouraging renewable energy production and better waste management practices.
The program plans to upgrade of the Automated System for Customs Data (ASYCUDA) which involves Express Courier; e-Manifest (for Express Courier); and Excise Tax Modules. It will also enable staff training to help them use the new modules.
Moreover, the program will support measures aimed at strengthening Seychelles’ response to climate change and the transition to clean energy.
This will include cabinet approval of the regulations on decentralized energy production systems. At the same time, the approval of independent energy producers. This will encourage the development of renewable energy installations by using standalone generator units.
The population of Seychelles will be the program’s primary beneficiary based on the scale of the reform program. More so, its impact across public administration, economic growth, environmental and climate resilience.
The African Development Bank Group (AfDB) also called in French as Banque Africaine de Développement (BAD).
The Bank serves as a multilateral development finance institution headquartered in Abidjan, Ivory Coast.
The AfDB is a financial provider to African governments and private companies investing in the regional member countries (RMC)
The AfDB’s mission is to fight poverty and improve living conditions on the continent. The Bank aims to achieve this through promoting the investment of public and private capital in projects and programs.
Likewise, these projects or program’s are likely to contribute to the economic and social development of the region.