Macroeconomic and Developmental Indicators
Sectors driving growth
Orientation of EBID interventions in Guinea-Bissau between 2021 and 2025
During the period 2021-2025, EBID envisages to promote resilient, inclusive and sustainable growth and development in its Member States. The thrust of this overacting objective will centred:
- Investing in growth poles to enable Member States to recover from the widespread recession occasioned by the COVID-19 pandemic;
- Support the Government and the Private Sectors in key Industry Sectors, with the special focus on the one driving the GDP of the country with significant development impacts
- Promoting economic integration in the sub-region;
- Promoting health-care delivery;
- Promoting social protection and climate resilience; and
- Investing in education (specifically in science and technology)
Specifically with regard to Guinea Bissau, the Bank will invest in sectors in the country which have the potential to create jobs and contribute significantly to GDP. In this regard, the Bank will engage with key stakeholders with a view to value-addition to the country’s key export commodities. Attention will also be given to improving the country’s infrastructure, especially roads, energy and ICT infrastructure.
As part of the implementation of its Strategic Plan 2021-2025, EBID intends to support Guinea-Bissau in relevant public and private development projects.
EBID Country Strategy
The ECOWAS Bank for Investment and Development (EBID’s) country strategy for Guinea Bissau is prepared against the backdrop of a difficult macroeconomic, social, socio-political, and health emergency in the country.
Economic growth in Guinea Bissau, while in positive territory for the most part between 2015 and 2019, was not sufficient and inclusive to address the perennial problem of endemic poverty in the country. Real GDP growth averaged 4.9 % between the aforementioned period. Agriculture remains the mainstay of the country’s economy employing nearly 70 % of the population. However, the sector remains largely rudimentary with little or no value-addition.
To promote economic and social development in Guinea Bissau, the country is implementing a national development plan, dubbed : “Terra Ranka”, which envisages catalysing all positive energies both within and outside the country to respond to its aspirations for prosperity and peace. The Plan, among other things, identifies as catalytic sectors, the digital economy and energy sector, as sectors that have transformational impact on the Guinean economy. The mining sector, tourism and fisheries are identified as engines of growth, while housing and construction and trade and distribution are listed as key domestic sectors to be targeted.
To achieve the objectives of the plan, the Guinean authorities reckon that it will be important to:
- Improve the business environment;
- Develop human resources;
- improve infrastructure and urban development; prioritize and safeguard bio-diversity and, most importantly, maintain the peace through several cohesion.
The primary objective of EBID’s strategy in Guinea Bissau over the period 2021 to 2025 will be to support the Government of Guinea Bissau in the implementation o the “Terra Ranka”. The thrust of the Bank’s intervention will be to invest in sectors that are key drivers of growth in the country. Investment in agro-industry will form the backbone of this strategy.
Additionally, the Bank will support the Guinean Government, in supporting infrastructure development, especially the provision of affordable energy in the country.
To implement the 2021-2025 country strategy for Guinea Bissau, the Bank will use number of innovative financing mechanisms such as ECA financing, direct loans and other forms of assistance. The Bank will hold policy dialogues with the Government of Guinea Bissau and other partners with a view to ensuring the effective implementation of the Country Strategy.