The Gambia has secured two new financing agreements with the Islamic Development Bank (IsDB) to advance its agricultural processing capabilities and critical road infrastructure, officials said Tuesday.
During the 2025 IsDB Group Annual Meetings in Algiers, the country’s Minister of Finance and Economic Affairs, Seedy K.M. Keita, signed a $3 million loan and a $150,000 grant agreement with the bank. The funding packages are earmarked for the second phase of the “Enhancing Value Addition in the Groundnut Sector Project” and a preparatory study for the rehabilitation and expansion of the South Bank Road, a key transportation corridor in the southern region of the country.
The groundnut project, which will receive the bulk of the loan financing, targets improvements at the National Food Security Processing and Marketing Corporation (NFSPMC), formerly the Gambia Groundnut Corporation. According to the Ministry of Finance, the supplementary financing will support the enhancement of processing infrastructure, strengthen project oversight and management systems, and cover costs related to financial audits. The initiative aligns with national efforts to modernise the agricultural value chain and boost food security.
Simultaneously, the IsDB grant will fund a Project Preparation Facility (PPF) for early-stage development of the South Bank Road rehabilitation initiative. The grant aims to facilitate a comprehensive feasibility study covering technical design, traffic analysis, environmental and social impact assessments, and land acquisition planning. The proposed scope of work spans the corridor from Airport Junction to Bulok, a stretch seen as vital for improving regional connectivity and economic integration in the southern parts of The Gambia.
The PPF study is expected to result in a detailed project framework that will be submitted to the Ministry of Transport, Works, and Infrastructure via the National Road Authority. That framework will serve as the basis for future capital mobilisation and implementation efforts.
“These agreements underscore our commitment to securing strategic investments that address both our immediate development needs and long-term economic ambitions,” Minister Keita said following the signing ceremony.
The agreements come at a time when The Gambia is intensifying its efforts to attract international financing for infrastructure and value-chain development to stimulate enhanced growth and enhance export competitiveness.
