African Countries Push for $25 Billion Replenishment of African Development Fund

Sudan has increased its pledged contribution to the replenishment of the African Development Fund to US$3 million, its Minister for Finance and Economic Planning Dr Gebreil Ibrahim Mohamed Fediel announced.

Fediel made the announcement during a meeting with his Sierra Leonean counterpart, Sheku Ahmed Fantamadi Bangura, Gambian Finance Minister Seedy Keita, Liberian Minister for Agriculture, Dr Alexander Nuatah and African Development Bank President Akinwumi Adesina. The ministers and Adesina met on the sidelines of the World Bank and International Monetary Fund’s annual meetings in Washington DC.

The governments of the Gambia, Liberia, Sierra Leone and Sudan are supporting efforts by the African Development Bank Group to push for a US$25 billion replenishment of the African Development Fund, its concessional window.

The four countries, together with Ghana, last year pledged to contribute a minimum of US$1 million each to the African Development Fund’s 17th replenishment scheduled for 2025.

Adesina praised Sudan’s “incredible show of solidarity for increasing its contribution to the Fund and for continuing to honour its financial commitments to the Bank despite facing difficult challenges.”The current $8.9 billion three-year financing cycle or the 16th replenishment, which ends in 2025, was the largest ever in the history of the African Development Fund.

The Bank Group president spoke about the African Development Fund’s impressive record as the largest financier of regional transport infrastructure corridors and regional energy connectivity and power pools across its 37 member countries.

Adesina said the Fund beneficiaries need “concessional resources more than just grants and that is why our goal is to triple ADF to US$25 billion. That is the reason I fought for ADF, from the first day of my leadership of the Bank, to be allowed to go to the capital markets to raise additional resources.”

“ADF going to capital markets will help generate up to US$27 billion additional resources starting from ADF 17th Replenishment,” said Adesina.

Sudan’s decision to top up its contribution to the African Development Fund comes a fortnight after Benin announced a US$2 million pledge to the next replenishment.

The African Development Bank Group’s executive director for The Gambia, Ghana, Liberia, Sierra Leone, and Sudan, Rufus Darkortey termed the increase by Sudan a powerful demonstration of their steadfast commitment to a bigger ADF-17 Replenishment.

“I commend President Adesina and the leadership of our governors and heads of state for championing the call for a bold US$25 billion ADF-17 Replenishment. This unified effort reflects Africa’s determination to lead its transformation,” Dakortey said.

Last May, Kenya’s President William Ruto pledged US$20 million to the Fund.

Source:norvanreports.com