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Active Development AidData Chinese Aid

CDB provides EUR 14.4 million loan for Phase 1 of Hann’s Bay Sanitation Project

€14.4M EUR

Funder China Development Bank (CDB)
Recipient Organization Government of Senegal
Country Senegal
Start Date Nov 01, 2022
End Date Dec 18, 2026
Duration 1,508 days
Number of Grantees 1
Roles Recipient
Data Source AidData Chinese Aid
Grant ID 86765
Grant Description

CDB provides EUR 14.4 million loan for Phase 1 of Hann’s Bay Sanitation Project In January 2018, China Development Bank (CDB) and Agence Française de Développement (AFD) signed a Memorandum of Understanding (MOU) to strengthen the cooperation between the two Chinese and French development finance institutions.

On November 8, 2019, Mr. Zhao Huan, Chairman of China Development Bank (CDB), and Mr.

Remy Rioux, CEO of Agence Française de Développement (AFD) and International Development Finance Club (IDFC) Chairperson, signed a letter of intent for the co-financing of the Hann’s Bay Sanitation Project located in Dakar for a total amount of approximately EUR 30 million.

The proposed co-financing would be for a supplement to additional network extension and the wastewater collection of Dakar’s Autonomous Port.

The co-financing agreement was to be undertaken in the terms of the Memorandum of Understanding signed between the two countries in January 2018.

The total expected cost of the project's first phase was EUR 149.5 million, with grant and loan contributions from the French Development Agency (AFD), Invest International, the European Union, and the Government of Senegal.

In November 2022, CDB and the Government of Senegal signed an EUR 14.4 million CDB loan agreement for Phase 1 of Hann’s Bay Sanitation Project.

📋 Loan / Grant Terms
💰 Loan Amountcarries a 15-year maturity
📅 Maturity15 years
⏳ Grace Period5 years
💹 Interest Rate2.7%

Hann Bay is located in the northeast of Dakar.

Since the city's growth in 1960, multiple industries have dumped their waste into the canal, resulting in severe pollution. The purpose of the project is to reduce pollution in Hann’s Bay in the capital city of Dakar. Hann’s Bay is surrounded by chemical companies, an abattoir and an oil refinery.

It has endured many years of discharge of industrial effluents and domestic waste.

The project will involve the collection and discharge of wastewater into a treatment network, including a 15 km long conduit that will carry the waste to a treatment plant.

The treatment plant will provide the first phase of filtration, which consists of trapping and removing solid matter and sand. The second phase of the project will consist of bacteriological treatment. The treated water will then be released into the ocean.

As part of the Government Senegal’s reforms to the sector, it will introduce the ‘polluter-pays’ principle via a sanitation charge for companies connected to the network.

Manufacturers will be expected to pre-treat their waste, and billing will be based on the quantity of pollutants and the volume of water discharged. ​After the project is completed, it will benefit 500,000 local residents.

The project is planned to take three years, during which time the bay will be completely cleared of pollution and up-to-date sanitation infrastructure will be put in place. It will connect 120 different sanitation manufacturers and create jobs and wealth. On September 25, 2020, the first phase of the Dakar Hann Bay Wastewater Treatment Project was officially launched.

Xiao Han, the ambassador to Senegal, Senegal Minister of Water Resources and Sanitation Thiam, office director Nicolas, the head of the Hann district, and the ambassadors from the European Union, France, the Netherlands and Belgium to Senegal attended the meeting.

📋 Staff Comments
  1. The Chinese project title is 达喀尔汉恩湾污水处理项目 or 塞内加尔污水处理项目. The French project title is Le Projet de Dépollution de la Baie de Hann or Dépollution de la Baie de Hann : Phase 1.
  2. CDB also claims (see https://www.cdb.com.cn/xwzx/mtjj/202409/t20240904_11892.html) that it is financing Phase 2 of the Hann’s Bay Sanitation Project (施塞内加尔达喀尔汉恩湾污水处理二期项目). This issue warrants further investigation.
  3. The total expected cost of the project's first and second phases is EUR 187.59 million.
  4. Invest International is a joint venture of the Dutch State (51%) and Development Bank (FMO) (49%).
📚 Sources & References
  • Ambassador Xiao Han to Senegal attended the launching ceremony of the Dakar Hanna Bay sewage treatment project
  • New Life for Hann Bay
  • CDB AND AFD STRENGTHEN THEIR STRATEGIC AND OPERATIONAL COOPERATION
  • Launch of work on the Hann Bay depollution project: In 3 years
  • Dakar will return to its lost paradise
  • Launch of the depollution work on Hann Bay: Launch of the reconquest of the splendor of yesteryear
  • Hann Bay Cleanup Project The act of effective start of work signed
  • Ceci est un Poster dans le cadre de la gestion des déchets solides, concernant la Baie de Hann.
  • Sénégal : la baie de Hann, poumon industriel de Dakar, veut sortir du cauchemar écologique
  • Dépollution de la baie de Hann : le DG de l'ONAS promet la fin du projet en fin 2024.
  • Interview de S.E.M. XIAO Han
  • Ambassadeur de Chine au Sénégal accordée à la RTS
  • 驻塞内加尔大使肖晗出席达喀尔汉纳湾污水处理项目启动仪式
  • China
  • France launches first third-party market cooperation on sewage treatment in Senegal
  • The Case for Cooperation Between Chinese and Western Development Finance Institutions
  • Chinese Development Bank Annual Report 2021
  • HANN BAY
  • SENEGAL: A PARTNERSHIP FOR DEPOLLUTION AND RESTORATION
  • 中企海外项目周报(2022.11.19-2022.11.25)
  • IDS July 2024 Data on Official Sector Chinese Lending and Lending Terms to Government of Senegal
  • Avis d’Appel d’Offres International(AAOI)
  • Projet de dépollution de la Baie de Hann
  • Restauration de la baie de Hann : Le projet de dépollution exécuté à plus de 56 %
  • La station de 25.000 m3/j prend forme à Mbao : le cap rassurant la dépollution de la baie de Hann, 《金融时报》:中国国家开发银行:深化金融合作 服务共筑高水平中非命运共同体 Loan applications and disbursements are still being received and processed as the projects continue to evolve. Ongoing monitoring and evaluation are in place to ensure project continuity.
All Grantees

Government of Senegal

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