AfDB: $115 billion capital increase

ABIDJAN, 04 Nov. - (ANA) - The African Development Bank Shareholders have approved a landmark $115 billion capital increase, doubling the bank’s capital base from $93 billion to $208 billion, and strengthening thus the Bank’s leadership on development financing for the continent.

This largest capital increase in the Bank’s history was approved at an extraordinary shareholders’ meeting last week in in Abidjan, attended by Governors of the bank who represent shareholders from 80 countries, the bank said in a press release.

The boost in capital ensures that the Bank will continue to maintain a sterling AAA rating, all stable, from the top rating agencies.

The African Development Bank launched discussions on the request for a general capital increase two years ago, to help fast track the delivery of its High 5 development strategies, the sustainable development goals and the African Union’s Agenda 2063.

In the past four years, the Bank’s High 5 priorities have delivered impressive results on the ground, including helping to connect 16 million people to electricity, 70 million people provided with agricultural technologies to boost food security; 9 million people given access to finance through private sector investee companies; 55 million people provided improved access to transport services; and 31 million people with access to water and sanitation.

According to AfDB President, Akinwumi Adesina, “We have achieved a lot, yet there is still a long way to go. Our responsibility is to very quickly help improve the quality of life for the people of Africa. This general capital increase represents a very strong commitment of all our shareholders to see better quality projects that will significantly have an impact on the lives of the people in Africa – in cities, in rural communities, and for millions of youth and women.”

With the new general capital increase, the Bank plans to do more, with the following expected results: 105 million people to have access to new or improved electricity connections; 244 million people to benefit from improvements in agriculture; 15 million people to benefit from investee projects; 252 million people to benefit from improved access to transport; and 128 million people to benefit from improved access to water and sanitation.  - (ANA) -

AB/ANA/04 November 2019 - - -