AfDB grants São Tomé and Príncipe's $21.9 million to boost blue economy, strengthen food security
Abidjan, Cote d'Ivoire (PANA) - The African Development Bank (AfDB) Group's Board of Directors has approved a $22 million grant to finance the Blue Economy and Fisheries Infrastructure Rehabilitation and Maintenance Project in São Tomé and Príncipe.
This is aimed at unlocking the archipelago nation's vast maritime potential while addressing critical food security challenges.
The financing package comprises funding from the Transition Support Facility (TSF) Prevention Window and the African Development Fund (ADF), a statement by AfDB said.
The Blue Economy and Fisheries Infrastructure Rehabilitation and Maintenance (BEFIRM) project will directly benefit 30,000 people along the fish value chain – primarily small-scale fishers, processors, and traders —and indirectly benefit an additional 100,000 citizens through improved food security and economic opportunities, it added.
São Tomé and Príncipe, a small island developing state with a population heavily dependent on fisheries, faces mounting challenges from climate change, dilapidated infrastructure, and limited economic opportunities.
"This project represents a critical investment in the resilience and prosperity of São Tomé and Príncipe," said Pietro Toigo, African Development Bank Group’s Country Manager for Angola and São Tome’ and Principe. "By rehabilitating essential port infrastructure, equipping fishers with modern fiberglass vessels, and strengthening the entire fish value chain, the Bank Group is addressing immediate food security needs and building long-term economic resilience in one of Africa's nations with the most untapped Blue Economy potential."
The project will deliver transformative results across four key areas. Three multipurpose fishing ports – Neves and Porto Alegre in São Tomé, and Chimaelo in Príncipe —will be completely rehabilitated, and disaster management support will be provided for Port San Antonio Praia. These critical hubs connect fishing communities to markets and support maritime connectivity across the islands. At the same time, 400 climate-resilient fiberglass vessels will replace aging wooden dugout canoes, curbing deforestation, dramatically improving safety, catch efficiency, and income potential for artisanal fishers and value chain actors.
The project will also provide six refurbished cold storage facilities, four refrigerated trucks to reduce currently staggering levels of post-harvest losses, and a link for fresh quality fish products to urban markets.
The press release said the intervention is projected to increase fish production from 15,000 tons to 25,000 tons annually while slashing post-harvest losses from 4,800 to 2,500 tons. Individual fisher incomes are expected to rise from €2,000 to €2,500 per year, with an internal economic rate of return of 21%.
At least 50% of training programs and cooperative support will target women and youth, with specific provisions for women-led SMEs and cooperatives, and for maritime sports and ecotourism for youth.
"Women are the backbone of São Tomé and Príncipe's fish value chain, yet they face immense challenges in accessing equipment, finance, and markets," said Neeraj Vij, the Bank’s Regional Sector Manager for Southern Africa. "This project deliberately addresses these barriers, providing women fish traders and processors with infrastructure, training, and pathways to formalise and scale their businesses."
The BEFIRM Project aligns perfectly with São Tomé and Príncipe's Vision 2030 and the 2023-2027 National Development Plan, which prioritize blue economy development as a pathway to economic diversification and poverty reduction. The country's fish consumption—averaging 30 kg per capita annually — is among the highest in Central Africa, making this sector critical for nutrition security and export potential.
As a recipient of financing from the Transition Support Facility, São Tomé and Príncipe exemplifies the challenges facing fragile small island developing states.
The project will be implemented over five years (2026-2030) by the Ministry of Economy and Finance through the Blue Economy Directorate and Satellite Intelligence Unit. A revolving fund mechanism and public-private partnership will ensure long-term sustainability of investments, while comprehensive training programs will build local capacity for infrastructure maintenance and fisheries management.
With São Tomé and Príncipe's Exclusive Economic Zone spanning nearly 165,000 square kilometers of resource-rich ocean, the BEFIRM Project can unlock enormous potential for sustainable blue economy development.
-0- PANA MA 21Dec2025
