Cape Town - The New Development Bank (NDB) and Eskom on Monday signed a R2.56 billion loan agreement for Renewable Energy Integration and Transmission Augmentation Project.
The NDB is a development bank established by the BRICS (Brazil, Russia, India, China and South Africa) bloc of countries.
Under the agreement, the NDB will provide a loan with sovereign guarantee to Eskom with an amount of $180 million (R2.56 billion).
The loan agreement was signed by Xian Zhu, NDB Vice President and Chief Operations Officer (COO), and Calib Cassim, Chief Financial Officer (CFO) of Eskom, during the 4th Annual Meeting of the New Development Bank in Cape Town, South Africa.
The New Development Bank’s Project Finance Facility (PFF) will be used to support the development of grid connection infrastructure, which is vital for the development of renewable energy projects. The PFF will also support renewable energy development and reduce the country’s reliance on fossil fuels.