The board of the African Development Bank (AfDB) has given the all-clear for the bank to increase its capital base to USD 208 Bn; a figure that is unprecedented in the bank’s 55-year history.
The President of the AFDB, Akinwunmi Adesina, revealed this in a press conference after negotiations ended on Thursday, in which he spoke of how joyous and proud he was about the achievement. The new capital base is the largest amount the bank has ever recorded.
“This is a joyful day for Africa, a historic day, this will give us greater stability for the future,” said Adesina.
Speaking on the perks that will accompany the increased capital base, Adesina said the additional funds would assist the bank to fund operations in energy, climate, and agricultural projects while supporting infrastructural needs for the success of a continental free-trade zone.
The AfDB was established in 1964 to foster sustainable economic development and social progress in its member-states, thus contributing to poverty reduction.
The organisation has the blessing of 53 African countries as well as 26 non-African states as members. Each member-state has the right to appoint a representative to the board whose voting power is dependent on the amount of money the country contributed.
The bank delivers on its mandate of fostering economic growth by mobilizing and allocating resources for investment in member-countries. The bank also provides policy advice and technical assistance to boost efforts aimed at development.
Featured Image Courtesy: AfDB