AfDB’s African Development Fund receives $7.06 billion from donor countries

13 Dec 2016
Financial Nigeria

Summary

President of the AfDB said the ADF will continue to play a significant role in building resilience for the economies of low income countries in Africa.

Akinwumi Adesina, President, African Development Bank

The African Development Fund (ADF) – the concessional window of the African Development Bank – has received up to $7.06 billion from global donors to support development projects and programmes in 38 lower income African countries over the next three years.

According to a statement released on Monday, the ADF will allocate over $280 million to the AfDB’s Private Sector Credit Enhancement Facility, which will leverage about $840 million of private sector financing, out of which at least 50% will be in higher risk countries. With the new funding, AfDB said the Fund will help African countries experiencing conditions of fragility or vulnerability to address their most pressing developmental challenges.

"We are appreciative of the support of the donors of the African Development Fund, especially in the difficult global economic environment,” said Dr. Akinwumi Adesina, the President of the AfDB. "I also appreciate the strong support of our donors for the vision, direction and ongoing reforms of the Bank Group to deliver greater developmental impacts for Africa.”

The AfDB President also said the ADF will continue to play a significant role in building resilience for the economies of low income countries in Africa.

Established in 1972, the ADF is administered by the AfDB for the benefit of 38 eligible countries, which include both high-growth and fragile states on the African continent. The ADF provides concessional funding for projects and programmes as well as technical assistance for poverty reduction and economic development in eligible countries.

Since inception, the Fund has cumulatively invested over $45 billion on the continent. The Fund’s resources are replenished every three years by its donor countries. With the latest round of donor funding, the ADF has now been replenished fourteen times.


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