Norway injects over $300m in Africa to boost growth, development

Norway has announced a contribution of more than $300 million (over NOK 3 billion) to the African Development Fund (ADF), while reinforcing its support for low-income countries across Africa in efforts to reduce poverty, strengthen institutions, and build resilience against future crises.

The funding, which covers the 2026–2028 period under the ADF17 replenishment cycle, will be channelled through the African Development Fund, the concessional arm of the African Development Bank Group, supporting 37 of the continent’s poorest countries.

According to the Norwegian Embassy in Abuja, the investment is aimed at promoting inclusive economic growth, job creation, climate adaptation, and stronger public financial management systems in recipient countries.

Åsmund Aukrust, minister of International Development, said the intervention reflects Norway’s long-term development philosophy focused on employment and economic empowerment.

“We know that having a job to go to, a living wage, and a decent working life is the most important way to help oneself out of poverty… The African Development Fund is an important player in achieving this,” Aukrust said.

He added that the fund’s credibility among African countries makes it an effective channel for development assistance.

According to the statement, a key component of the African Development Fund’s work is helping governments strengthen economic governance and improve domestic revenue generation, particularly through tax systems and public financial management reforms.

Officials say improved revenue mobilisation is essential for attracting private sector investment, which in turn drives job creation—a central pillar in poverty reduction strategies across the continent.

Norway emphasised that its support is designed to help build “resilient economies and stable societies” while reducing long-term dependency on external aid.

The African Development Fund also prioritises investments in critical infrastructure, especially in energy, transport, agriculture, and industrial development.

These sectors are considered vital for economic transformation, with energy access described as a prerequisite for development and industrial growth.

Norway noted that funding infrastructure helps countries become more self-sufficient and less vulnerable to global economic shocks while also strengthening climate resilience in vulnerable regions.

A portion of Norway’s contribution will also be directed through the ADF’s climate window, supporting adaptation measures in countries most exposed to climate change impacts.

It disclosed that a notable development highlighted in the ADF system is the increasing participation of African countries in financing the fund.

“When the African Development Fund was established in 1972, no African countries contributed financially. Today, that number has risen to 25”, the Embassy stated.

Officials say this reflects growing economic strength across parts of the continent, as well as increasing ownership of the fund as a tool for African-led development.

Norway welcomed this shift, describing it as an important signal of regional responsibility and solidarity with countries still facing severe development challenges.