The African Development Bank (AfDB) (www.AfDB.org) and the European Investment Bank (EIB).
The joint action plan allows the two institutions to develop a common pool of bankable projects around key complementary themes to which each institution would bring its comparative advantage.
These themes are: climate action and environmental sustainability; large-scale transformative investment in quality infrastructure; Information and Communication Technologies (TIC) infrastructure and services; financial inclusion from a gender perspective aimed at empowering girls and women; Education and formation; and the health sector.
The signing takes place in the middle of the COVID-19 pandemic which increases poverty on the African continent and threatens markets and livelihoods, increasing the urgency to act.
The agreement was signed by the African Development Bank, Acting Senior Vice President Bajabulile Swazi Tshabalala and Thomas Östros, Vice President of the European Investment Bank, in a virtual ceremony attended by more than 100 stakeholders from across Africa and Europe. The session was preceded by a short round table between the two members of senior management and representatives of the two institutions.
“It is crucial that more multinational development banks and other development finance institutions commit to closer and stronger collaboration, as demonstrated by this joint action plan between the AfDB and the EIB, in order to support our regional member countries more effectively in these troubled times, ”Tshabalala said. “Sustainable economic growth and security in regions facing particular challenges, such as the Sahel and the Horn of Africa, are our top priority. “
“Partnerships are crucial to the EIB’s activities and impact, and this partnership with Africa’s Bank is crucial for Africa. The action plan signed today with the African Development Bank demonstrates the strong commitment of the European Investment Bank, the EU Bank, to making investments that make a real difference for Africa. Improving our work with the African Development Bank, Africa’s multilateral development bank, is a strategic priority for the EIB and European. Together the EIB and the AfDB will strengthen cooperation and engagement with African partners to ensure that Africa emerges from the health, social and economic challenges of COVID-19 to an even brighter 21st century, ”said Thomas Östros, European Vice-President for Investments.
The joint action plan was developed following a EIB delegation meeting with the African Development Bank in February 2020.
Shared priorities to support the transformation
The plan reflects the Bank’s High 5 priority development areas as well as the EIB’s priority areas for Africa. After COVID-19 the two institutions have allocated funding for a rapid response to meet the budgetary and health needs of countries in the region.
Build on track record of joint financial and technical support across Africa
Over the past 5 years, the joint portfolio of the two institutions has grown to reach EUR 3.4 billion, mobilizing investments totaling EUR 10.2 billion for 26 projects across the continent.
The EIB and the African Development Bank recognize the unique role of public development banks in supporting high impact and pioneering investments and mobilizing private sector finance.
Recent cooperation to increase venture capital funding for innovation and technology companies through the Boost Africa initiative and engagement in the Desert to Power program shows how public banks are accelerating funding in priority policy areas.
The unique financial and technical contribution of public banks was further demonstrated earlier this month when the EIB and AfDB Presidents confirmed increased support for biodiversity and investment across the Sahel as part of the Great Green Wall initiative confirmed at the One Planet summit hosted by French President Macron and Prince Charles.
In recent years, the EIB and the AfDB have jointly supported clean energy, water, transport and private sector projects across the continent, from Morocco to the north, Senegal to the west, Kenya to the east and Zambia in the south, and elsewhere in Africa.
In the Sahel region, the AfDB and EIB fund climate and energy initiatives such as Desert-to-Power and the Great Green Wall Initiative.
The African Development Bank Group and the European Investment Bank have a long history of cooperation, framed by their relationship as multilateral development banks and a memorandum of understanding on a strengthened strategic partnership, signed in 2005, between the EIB, the AfDB and the European Commission. They also signed a procedural framework for co-financed public sector projects.
Click on here (https://bit.ly/3bTAI3e) to read the plan and for more information.
Distributed by APO Group on behalf of the African Development Bank Group (AfDB).
African development bank
Communication and External Relations Department
Email: [email protected]
European Investment Bank
Tel: +352 43 79 82155 / Mobile: +352 621 55 57 5
About the African Development Bank:
The African Development Bank Group (AfDB) (www.AfDB.org) is the premier development finance institution in Africa with a mandate to stimulate sustainable economic development and social progress on the continent, thereby contributing to the poverty reduction. The Bank Group achieves this objective by mobilizing and allocating resources for investment on the continent; and providing strategic advice and technical assistance to support development efforts. The authorized capital of the African Development Bank, of approximately $ 208 billion, is subscribed by 81 member countries including 54 African countries and 27 non-African countries. For more information, visit www.AfDB.org.
The European Investment Bank (EIB) (www.EIB.org) is the European Union’s long-term lending institution owned by its member states. It makes long-term funding available for sound investments in order to contribute to the political objectives of the EU.
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