Gabon requires significant investment in infrastructure to support trade and diversify its economy. The country ranks 150 out of 160 on the World Bank’s Logistics Performance Index. Although oil accounts for the majority of its exports, oil reserves are declining and the government is focused on strengthening its non-oil economy, including mining, wood-processing, agribusiness and services.
Solution and Impact
Political risk insurance is supporting construction of a mineral and specialized bulk terminal port, which will advance economic growth by increasing the country’s ability to import and export goods. DFC is providing reinsurance to Chubb European Group SE, which is insuring Meridiam Africa Infrastructure Investments, which owns a 25 percent stake in the project.
The new Gabon Special Economic Zone, or GSEZ Mineral Port is part of Plan Gabon Emergent, an initiative by the Government of Gabon to diversify the economy and promote public and private investment.
A stronger and more diversified economy will also help address significant income inequality in Gabon, where the unemployment rate is 28 percent and more than one-third of the people live below the poverty line.