The African Development Bank Group has released a new report providing an overview of the results of regional operations financed by its concessional lending window, the African Development Fund (ADF), over the past decade.
The report, “Crossing Borders, Connecting Communities, Changing Lives,” examines and documents the impacts of the regional operations envelope since ADF-13 (the 13th replenishment of the ADF). Contributing to more than 80 active regional projects and programs, the ADF’s regional operations envelope provides vital support to Africa’s 37 low-income countries, 16 of which are landlocked. By complementing the resources of these countries, the envelope allows countries to build regional infrastructure that stimulates their development.
The report also highlights that between 2020 and 2022, the ADF plans to finance 51 projects and programs worth $2.7 billion and leverage an additional $1.5 billion in co-financing from development partners such as the World Bank, the Green Climate Fund, the OPEC Fund and the European Investment Bank.
“At the Bank, we know that regional connectivity will catalyze Africa’s path to recovery,” said Yacine Fal, the Bank’s Acting Vice President for Regional Development, Integration and Business Delivery. businesses. “This is especially true in light of climate shocks, debt vulnerabilities, the COVID-19 pandemic and the Russian-Ukrainian conflict. Strong regional operations in ADF countries deserve our support. social and economic resilience for decades to come.”
The regional infrastructure gap covering African countries is in the billions of dollars. Financing deficits is particularly difficult for low-income African countries. Yet the roads, transmission lines, financial systems and other infrastructure that cross borders are essential for countries to trade, innovate and prosper.
“The resources needed for low-income African countries to recover, rebuild and integrate are staggering,” said Jean-Guy Afrika, Acting Director of the Bank’s Regional Integration Coordination Office. “This report shows how investing in regional operations generates social and economic benefits for millions of women, men and young people, from small traders, consumers and households to investors, business teams and entrepreneurs. We are especially grateful for the generous support from ADF donors and I hope that the evidence in this report will stimulate even more financing for Africa’s development.
The report highlights how regional roads, bridges, railways, ports, airports, border crossings, power stations and communication networks funded by the regional envelope are connecting communities and changing lives.
The regional operations envelope is increasingly focused on areas in fragile situations. Under ADF-15, more than 43% of resources were allocated to fragile regions such as the Sahel, the Horn of Africa and the Lake Chad region, exceeding the Bank’s original target of 20% .
Regional transport, power and ICT projects account for almost 80% of operations approved over the last three ADF cycles. This has produced thousands of additional kilometers of paved roads, bridge projects and one-stop border posts across corridors in West, East, Central and Southern Africa.
Click here to read the report and learn more about the impact of the ADF regional operations envelope over the past decade.