Standard Chartered announces EUR 149 million of Social Loan financing for the Angolan Ministry of Finance to build a new hospital in Kilamba, with a specialist burns ward. This is the government of Angola’s first Social Loan.
The financing is backed by Export Credit Agency (ECA) UK Export Finance[1] (UKEF) and ASGC UK Limited[2] is the contractor responsible for managing the construction work. Standard Chartered acted as sole Bookrunner, Original Lender, Facility Agent, Structuring Bank and Mandated Lead Arranger. The project is being developed by the Angolan Ministry of Health and involves the design, building and equipping of the hospital. It is part of the government’s National Development Plan for Angola 2018-2022.
Kilamba is a large residential area just outside of Angola’s capital of Luanda and the new hospital will help provide better healthcare services for the city and surrounding areas. The hospital will have seven floors and capacity for 250 beds. Not only will it boast a dedicated unit for the treatment of burns but will offer general healthcare services. These include accident and emergency, palliative care, general and paediatric clinics, surgery, geriatric care, pathology services, transfusion services, a physiotherapy service, and infection control and prevention. Standard Chartered structured the financing to fully comply with the Social Loan Principles[3] (SLPs) and the project also contributes towards meeting the United Nations’ Sustainable Development Goal 3[4], which relates to ensuring healthy lives and promoting well-being at all ages. Additionally, it aligns to environmental and social risk management international best practices.
Mustafa Sajjad Hussain, Structured Export Finance, Standard Chartered Bank, said: “This is another in a long line of financing we have structured for the Angolan Ministry of Finance and arranged with UKEF, showing we are a trusted partner. We’re very proud to help support a project that makes such a difference to local communities by providing improved healthcare services.”
Tim Reid, newly appointed CEO of UK Export Finance, said: “This support shows once again the leading role the UK plays when it comes to exporting world-leading expertise in project development and medical equipment. Working with the Angolan government and Standard Chartered Bank, we are proud to demonstrate how British ingenuity can enhance healthcare for communities abroad whilst helping UK businesses export their best-in-class goods and services.”
Commenting on the project, Claudia Conceicao, CEO Standard Chartered Bank Angola S.A, said: “Standard Chartered Bank’s purpose is rooted in our communities and underpinned by our brand promise to be “Here for good”. We recognise that communities in Angola and around the world need all the support that can be given towards better healthcare. The financing of the new hospital not only benefits the community of Kilamba and surrounding areas but it acknowledges the efforts and sacrifice made by the healthcare professionals in the community, and demonstrates the effort of the Government of Angola providing communities with facilities that ensure better healthcare services for all.”
This transaction follows the recent announcement[5] of EUR 238 million of ECA-supported financing for the government of Angola to build new infrastructure, supporting the country’s agricultural industry and transport network. In September 2021, the Bank also announced[6] US$ 1.1 billion financing to develop critical water supply infrastructure to serve the Angolan capital Luanda.
[1] https://www.gov.uk/government/organisations/uk-export-finance
[2] https://www.asgcgroup.com/index
[3] https://www.lma.eu.com/application/files/1816/1829/9975/Social_Loan_Principles.pdf
[4] https://www.un.org/sustainabledevelopment/health/
[5] https://www.sc.com/uk/2022/12/01/standard-chartered-announces-eur-238-million-of-financing-to-build-agricultural-and-transport-infrastructure-in-angola/
[6] https://www.sc.com/en/feature/usd-1bn-financing-project-water-infrastructure-angola/