The Bank’s support will build human resource capacity so that Cameroon has a critical mass of qualified personnel to work throughout the electricity sector value chain

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ABIDJAN, Ivory Coast, December 15, 2023/APO Group/ — 

The Board of Directors of the African Development Bank Group (www.AfDB.org) approved a loan of EUR 74.25 million to Cameroon in Abidjan on 14 December 2023 to implement the first phase of the Electricity Sector Recovery Support Programme (PARSEC).

The programme will support the Cameroonian government to implement the reforms necessary in the energy sector in 2024 and 2025 so that, in the long term, the country can produce enough electricity to cover its national requirements of 5,000 megawatts and build a reserve to export energy to neighbouring countries, particularly Chad.

The programme will also benefit SME, which will see several constraints on the development of their activities, including the irregularity of the energy supply, removed

“This programme allows the African Development Bank to provide added value in its support for the recovery of the electricity sector in Cameroon. It also offers significant leverage effects through its connection to various recovery plans in the electricity sector. The various actions implemented in the context of high-level dialogue with the government are such that they will raise the Bank to the rank of a preferred partner to Cameroon,” said Serge N’Guessan, Director General for the Central Africa region and head of the African Development Bank’s Country Office in Cameroon.

Among other things, the reforms will enable Cameroon to reduce its commercial losses on electricity, improve revenue collection and deal more efficiently with energy flows in distribution, by migrating metering from a post-paid to a pre-paid mode and installing smart meters, including in public buildings. The programme will also help to develop and implement an information-education-communication plan aimed at the population, to publicize the new type of metering and introduce customers to pre-payment.

The Bank’s support will build human resource capacity so that Cameroon has a critical mass of qualified personnel to work throughout the electricity sector value chain, from production to knowledge distribution, with the aim of facilitating faster responses to technological, organizational, environmental, climate-related and financial needs in the sector.

The programme will also contribute to the development of a low-cost, integrated master plan to build planning capacity in the electricity sector, covering the whole of the electricity value chain in Cameroon and taking gender concerns into account.

The whole of the Cameroonian population will benefit from the programme, based on an improvement in quality of life. The programme will also benefit small and medium-sized enterprises (SME), which will see several constraints on the development of their activities, including the irregularity of the energy supply, removed. This will improve the business environment, allowing the Cameroonian economy to attract more national, regional and foreign capital.

Distributed by APO Group on behalf of African Development Bank Group (AfDB).

Adesina congratulated the government of Zambia for reaching an agreement with its bilateral creditors under the G20 Common Framework on debt treatment

LUSAKA, Zambia, July 20, 2023/APO Group/ — 

African Development Bank Group (www.AfDB.org) President Dr Akinwumi Adesina has completed a two-day official visit to Zambia where he met with President Hakainde Hichilema to discuss further support for the country as it emerges from a successful $6.3 billion debt restructuring for bilateral debtors, concluded with bilateral debtors under the G20 Common Framework on debt treatment.

President Hichilema noted that while his government had made a significant achievement on official creditor debt, more work needs to be done to tackle debt owed to local and external commercial creditors including Eurobond holders. “We have lost a lot of time under the ‘python of debt’. We want to now unlock growth and prosperity for our people,” said President Hichilema.

Adesina congratulated the government of Zambia for reaching an agreement with its bilateral creditors under the G20 Common Framework on debt treatment. The agreement puts Zambia back on the path for economic recovery and sustainable debt management.

“You have created a sense of hope in the country and confidence in the economy, paving the way for investments to return and accelerate the drive to achieve prosperity for the country,” Adesina told President Hichilema during the meeting on Tuesday at State House in the capital Lusaka.

The Bank chief outlined several measures including an initial up to $150 million in budget support for consideration for approval by its board of directors; and several other investment projects in key sectors of the economy, including agriculture, energy, and transport. He said the Bank will immediately make available to Zambia the full services of the Africa Legal Support Facility (ALSF) to support Zambia efforts to renegotiate the terms and conditions of debt with private external creditors. The ALSF, established in 2008, has assisted several countries in creditor engagement and negotiations related to debt restructuring and relief.

Adesina said, “The starting point is to now make sure the debt treatment works and that Zambia does not again return to a debt crisis.” The Bank chief offered Zambia a raft of technical and advisory support from the Bank, including support for public financial management; public debt management; public investment management; strengthened procurement rules and systems, public-private partnerships, and domestic resource mobilization.

In addition to the planned $150 million in budget support, Adesina said the Bank will help Zambia to access another $168 million per year from the non-concessional window of the Bank.

The starting point is to now make sure the debt treatment works and that Zambia does not again return to a debt crisis

The Bank will also support Zambia to access regional financing window of the ADF to finance large transformative infrastructure, including energy, road and rail transport connections with Mozambique, Angola and the Democratic Republic of Congo.

The Bank will provide support to reform Zambia’s farm input support program to be more efficient, transparent and delivered by the private sector, using biometric registration of farmers and use of electronic vouchers to deliver support directly to farmers.

The Bank will also provide support for the establishment of Special Agro-Industrial Processing Zones and a Youth Entrepreneurship Investment Bank to build new financial ecosystems around the businesses of the youth and create jobs. Adesina urged the government to optimize on its debt used for infrastructure by considering ‘asset recycling’ which would involve selling its assets to the private sector to free up liquidity for investment in new infrastructure projects.

The African Development Bank currently has 25 active projects with total financing of $1.02 billion.

The Bank chief also met with private sector leaders, including the chief executive officers of the financial industry in Zambia, and called on them to take advantage of these opportunities to invest more in the country.

President Hichilema thanked Adesina for his “tremendous work for the African Development Bank and Africa.” Your leadership has raised the bar in terms of the Bank’s status and performance,” he said.

Adesina was accompanied by the Vice President for Regional Development, Integration and Business Delivery, Marie-Laure Akin Olugbade, the Vice President for Agriculture, Human and Social Development Dr Beth Dunford, the Director General for Southern Africa Leila Mokaddem, Director of Agriculture and Agro-Industry Martin Fregene, Director of Water and Sanitation Osward Chanda, and the Bank’s Country Manager for Zambia, Raubil Olaniyi Durowoju.

On his part, President Hichilema was accompanied by Minister for Science and Technology and acting Finance Minister Felix Mutati as well as Central Bank Governor Denny Kalyalya.

Adesina praised President Hichilema for his “drive, passion and resolute approach to debt resolution and restructuring for the country,” and added, “Zambia is back. Zambia is bankable; and you, Mr President, you are bankable. You can count on the African Development Bank’s support all the way.”

Distributed by APO Group on behalf of African Development Bank Group (AfDB).

GCA is an international organization that aims to accelerate action and support for adaptation solutions in partnership with the public and private sector

ABIDJAN, Ivory Coast, October 20, 2022/APO Group/ — 

The Global Center on Adaptation (GCA) (https://GCA.org/) signs its first cooperation agreement with the EMEA division of Invesco focused on an investment strategy in the climate adaptation space.  The agreement, expected to become fully operational at COP27, is specifically targeted at exploring a blended finance strategy that aims to increase adaptation investment in developing markets. The MoU was signed at the margins of the ongoing Finance in Commons Summit (https://bit.ly/3EWFNWV) organised by the African Development Bank and the European Investment Bank in Abidjan, Cote d’Ivoire.

Invesco is an independent investment management firm that offers a wide range of single-country, regional and global capabilities across primary equity, fixed income, and alternative asset classes, delivered through a diverse set of investment vehicles. Invesco is a signatory to the Task Force on Climate-related Financial Disclosure (TCFD), the Principles for Responsible Investment (PRI), Climate Action 100+ and CDP2 (score B in 2020); and has adopted the Network for Greening the Financial System’s (NGFS) scenarios to assess physical and transition risks across a broader range of asset classes.

Private sector investments currently make up less than 2% of climate adaptation spending

GCA is an international organization that aims to accelerate action and support for adaptation solutions in partnership with the public and private sector.

Speaking during the signing ceremony, Professor Patrick Verkooijen, CEO of the Global Center on Adaptation said: “Private sector investments currently make up less than 2% of climate adaptation spending. We hope through working closely with our partners at Invesco we will be able to unlock and mobilize more private capital to prepare for and respond to the physical impacts of climate change.”

Matthieu Grosclaude Chief Operating Officer EMEA at Invesco commented: “We are very pleased to be partnering with the GCA on this important initiative to accelerate climate adaptation finance. It aligns strongly with our strong investment capabilities in emerging markets and our continued focus on clients’ partnerships. We very much look forward to working together to build a climate resilient future.”

Distributed by APO Group on behalf of Global Center on Adaptation (GCA).