African Development Bank Group to unlock significant additional resources for fragile states – Adesina

African Development Bank Group to unlock significant additional resources for fragile states – Adesina

Bank Group draws curtain on 2023 Annual Meetings with a call for action to do more for Africa; Governors give Bank all-clear to tap capital market, using resources from concessional ADF window.

The Board of Governors of the African Development Bank Group has approved Management’s request to leverage the equity of the African Development Fund, its concessional lending window, to mobilize more resources on the capital markets.

When fully implemented, the Bank Group could unlock up to $27 billion to help low-income and fragile states., Bank Group president Dr. Akinwumi Adesina said on Friday.

“What this means is that when this is launched, we can raise an additional $4 billion or even more per cycle for these least developed low-income countries,” Adesina said in remarks to close the Bank Group’s 2023 Annual Meetings in Sharm El Sheikh, Egypt.

He added that depending on the prevailing exchange rate, the Bank could raise up to $27 billion from the capital market, leveraging on ADF equity.

With nearly half its client countries as fragile states, the African Development Fund contributes to poverty reduction and socioeconomic development in least-developed African countries by providing concessional funding for their projects and programs. Nine of the world’s most vulnerable countries to climate