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South Africa - Cape Town, Thursday, February 27, 2025 - During the Finance in Common Summit 2025, which is currently gathering all public development banks in Cape Town to strengthen international cooperation and accelerate climate action, the AFD and BADEA are taking a step forward in their collaboration.
A new cooperation framework to amplify the impact of financing for African development
The French Development Agency (AFD) and the Arab Bank for Economic Development in Africa (BADEA) signed today a Memorandum of Understanding establishing a framework for enhanced cooperation for the next four years (2025-2029). This signing marks an important milestone in the cooperation between the two financial institutions and will strengthen the synergies between Arab and French financing for African development.
"This strategic partnership with BADEA represents progress in supporting African economies. After fruitful collaborations, particularly in the agricultural sector and during the Finance in Common Summits (FiCS), I am pleased to sign this MoU today with President Sidi Ould Tah, which projects our cooperation with BADEA until 2029. Together, we will combine our expertise and financing to accelerate ecological transition, strengthen food security, and support entrepreneurship and job creation on the continent.", declares Rémy Rioux, Director General of the French Development Agency and President of the Finance in Common coalition.
"Thanks to this enhanced partnership, BADEA and AFD will be able to jointly develop high impact projects, in the interest of African populations targeting key areas of development, " declares Dr. Sidi Ould Tah, President of the Arab Bank For Economic Development in Africa.
A partnership centered on four strategic axes
The agreement defines four priority areas of intervention that reflect the major challenges of the African continent and the common priorities of the two institutions:
- Support for SMEs and entrepreneurship: Development of adapted financing solutions to stimulate the growth of African SMEs, true engines of job and wealth creation.
- Climate and green finance: Mobilization of resources to finance renewable energy projects, energy efficiency, and adaptation to climate change, recognizing Africa's particular vulnerability to climate disruptions.
- Food security: Strengthening the resilience of agricultural systems and promoting sustainable agriculture to ensure the continent's food sovereignty.
- Sustainable infrastructure: Support for the development of modern and resilient infrastructure to accelerate economic and social integration while respecting the environment.
An already engaged collaboration
This signing formalizes a collaborative dynamic already underway between the two institutions. Last January, the President of BADEA was received in Paris during the celebration of AFD's 10 years of green bond issuances, illustrating their common ambition to mobilize innovative financing for the ecological transition.
Press contacts :
Arab Bank for Economic Development in Africa (BADEA) : badea@badea.org
AFD : noels@afd.fr
About The Arab Bank for Economic Development in Africa
The Arab Bank for Economic Development in Africa (BADEA) is a multilateral development finance institution owned by 18 sovereign states, members of the League of Arab States which began operations in March 1975 providing finance and technical assistance for economic development exclusively in Sub Saharan Africa. BADEA works to facilitate and catalyse the flow of Arab and other external capital and investments into Africa. Since 2015, the bank also expanded its focus on trade – both Arab-Africa trade as well as Intra-Africa trade. The Bank is an independent International Institution enjoying full international legal status and complete autonomy in administrative and financial matters. It is governed by the provisions of its Establishing Agreement and the principles of international law. The Bank was created for the purpose of strengthening economic, financial and technical cooperation between the Arab and African regions and for the embodiment of Arab-African solidarity on foundations of equality and friendship and remains one of the very few multilateral development banks whose mandate is to serve non-shareholder countries.
www.badea.org
About Agence Française de Développement
Agence Française de Développement (AFD) helps advance France’s policy on sustainable investment and international solidarity. Through its public sector and NGO financing operations, research and publications (Éditions AFD), sustainable development training programs (AFD Group Campus) and awareness-raising activities in France, AFD finances, supports and drives the transition to a fairer, more resilient world.
Alongside our partners, we provide sustainable solutions for—and with—communities. Our teams are working on over 2,700 projects in the field, in over 115 countries, including France’s overseas departments and territories, to support projects for the climate, biodiversity, peace, gender equality and global health. Together with Proparco and Expertise France, AFD supports the commitment of France and the French people to achieve the Sustainable Development Goals (SDGs).
Working by your side, toward a world in common.
afd.fr/en