AFDB to commit $25bn for Africa’s Climate Finance by 2050

The African Development Bank (AFDB) has said it will provide $25 billion to Africa’s Climate Fund for the next 27 years.

Akinwunmi Adesina, the President of the Bank, made this known Tuesday, September 5 at the ongoing African Climate Summit in Kenya.

He said the Bank is committed to contributing $25 billion to the continent in funding climate finance, to accelerate the transition to cleaner energy sources.

“At the national level, we must accelerate actions on climate adaptation and that is why the African Development Bank has committed to providing $25 billion to provide climate finance by 2025.

Read also: Nigeria, Ghana, others’ GDP to rise to 3.9% in 2023 — AfDB

“We have also launched the African Adaption Act Commission programme together with the Global Centre on Adaptation, the largest climate adaption programme in the world. Africa must develop with what it has not what it does not have.

“We cannot power Africa with potential. We must truly unlock Africa’s renewable energy potential. That is why the Africa Development Bank is implementing $20 billion to harness the power of solar and deliver electricity to 250 million people.”

According to him, “we must power every home, school, and hospital and provide stable, affordable and reliable power. But we must be pragmatic, Africa must use its natural gas and combine it with renewable energy.”

Read also: The AfDB and the highway to Bamenda

The Summit looks to achieve three climate finance goals: More financing, targeted financing, and cheaper higher risk appetite financing.

“Climate change poses significant risks to the global community, with physical effects causing substantial economic losses. Over the past decade, storms, wildfires, and floods have resulted in substantial GDP losses,” the organisers said.

“Africa, in particular, faces severe climate-related challenges, including drought, desertification, and increasing cyclones, leading to displacement, migration, and food crises.”