Prime Minister Edouard Ngirente arrived in Sharm El Sheikh, Egypt, on Monday May 22, to attend the African Development Bank (AfDB) meeting that focuses on mobilizing private sector financing for climate action.
Climate change is top priority for the 58th Annual Assembly of the African Development Bank and the 49th meeting of the African Development Fund running under the theme ‘Mobilizing Private Sector Financing for Climate and Green Growth in Africa’ from May 22 to 26.
Experts continuously emphasize that addressing climate change and promoting a green transition is thus fundamental for Africa’s sustainable development which requires mobilizing substantial resources.
In 2020, climate funding by the private sector accounted for 49 percent or $310 billion of the total value of climate finance. In contrast, out of $29.5 billion of climate finance that flowed in Africa, 80 percent of climate investment financing was mobilized from public international actors while private sector funding represented only 14 percent.
It is reported that Africa needs between $1.3trillion and $1.6trillion from 2020 to 2030 to implement its climate action as expressed in countries’ National Determined Contributions (NDCs).
It is against this background that the bank group’s governors, executive directors, and African leaders and development partners will discuss successful strategies to galvanize more resources.
These include those from within their own countries as well as investment opportunities in renewable energy and sustainable agriculture.
Besides that, AfDB will also launch its flagship Africa Economic Outlook report 2023 that takes into account different economic developments in the region and projections.
The meeting will as well feature discussions on the ongoing transformation of international financial architecture and how this is likely to affect the vital role of multilateral development institutions in lending and assistance to developing countries.