Fund Comparison

DBSA wishes to invite project preparation applications from prospective public entities and private entities having obtained or in the process of obtaining a licence/ concession to provide a public service; to apply for non-recoverable Project Preparation Grants to carry out feasibilities studies required to make investment decisions on infrastructure projects as per the eligible sectors.

Please see below a comparison of the different programmes and read carefully to ensure that you are applying to the correct programme.

DBSA Project Preparation Fund

SADC Project Preparation & Development Facility (PPDF)

Programme Description The DBSA has created a Project Preparation Fund unit to provide project preparation funds for developing infrastructure projects. The unit was created to support the pipeline of DBSA’s financing divisions. The PPDF facility was born out of article 26A of the Southern African Development Community Treaty. The programme was created to address the shortage in project preparation funding for infrastructure projects in the region. The funds are administered, managed and disbursed by DBSA on behalf of the SADC Secretariat and is funded by the European Union and KFW Investment Bank.
Programme Purpose The DBSA project preparation funds are earmarked for projects which the DBSA’s financing divisions can include in their pipeline. The funds are intended to be used for the following;

*       Creating an enabling      environment for infrastructure projects to implemented

*        Conducting pre-feasibility studies

*        Conducting bankable feasibility studies

*        Assistance with costs to reach financial close

These funds are provided with the view that projects prepared with these funds will be funded through DBSA’s Lending divisions.

DBSA will enter into a facility agreement with conditions stipulated.

The objectives of the programme are to:

*        Create a conducive environment for investment through financing the preparation of infrastructure projects. The PPDF will concentrate on those projects that will be considered as enablers of regional integration.

*        Provide technical assistance for infrastructure project identification, preparation and feasibility studies with a view to making the projects bankable and attractive to investors

*        A grant facility will be made available for 95% of the required amount. A 5% monetary value of the grant is required from the recipient.

Sector & Geographic Focus The funds are limited to projects in South Africa, SADC region and select countries in the greater continent of Africa.

The sectors which the fund focusses on are;

*        Energy infrastructure

*        Water and Sanitation infrastructure

*        Transport and Logistics infrastructure

*        ICT Infrastructure

The funds are limited to projects within the SADC region. The projects should span over two or more SADC countries or if located in one country should facilitate and promote regional integration. The sectors for which the fund is available include:

*        Transport infrastructure.

*        Energy generation and transmission.

*        Information and Communication Technologies.

*        Water and Sanitation.

*        Tourism related infrastructure.

Governance/ Approval Structure DBSA Approval Structures PPDF Steering Committee consisting of members from the SADC Secretariat and the Troika of Member States (subject to ratification by the PPDF Board of Trustees)
For More information & application For more information and to apply visit the Project Prep website at DBSA Project Preparation Fund To apply for funding, please contact us at sadcppdf@dbsa.org