Africa Finance Corp receives $50 million from OPEC fund to build infrastructure

The OPEC Fund for International Development and Africa Finance Corp. signed a $50 million credit deal to finance the construction of infrastructure necessary for economic growth and job creation across the continent.

39 nations make up the multinational financial organisation known as the AFC. It was established to offer funding and private sector-driven infrastructure solutions in vital industries like telecommunications, heavy industry, heavy transportation, and power.

The 10-year loan will be used to increase energy access, trade, logistics, and connectivity across Africa. It adheres to the collaboration agreement they inked in 2017 and follows the OPEC fund’s prior $50 million 10-year loan to AFC.

According to Director General Dr. Abdulhamid Alkhalifa, Africa continues to be a major location for the fund, with more than 45 percent of our aggregate finance committed to the continent.

“Africa’s immense potential must be unlocked in order for it to properly exploit its resources, and this requires the development of sustainable infrastructure.”

Working with regional partners like AFC allows us to have a greater effect and further Africa’s development agenda.

“The OPEC fund and the AFC have enjoyed a long-standing cooperation,” according to AFC CEO Samaila Zubairu. “We are thrilled to collaborate again to assist the work we do in creating vital infrastructure in Africa,” she added.

“Developed and developing countries are both dealing with long-term problems brought on by a wave of global shocks. These problems can only be resolved by cooperation and involvement between the world’s top financial institutions.”

The COVID-19 pandemic’s aftermath has hindered Africa’s economic growth because to disruptions in the global supply chain and rising prices, according to the Emirates News Agency.

To improve access to long-term sustainable financing for infrastructure projects, the OPEC fund and AFC are working together. AFC has made over $11 billion in project investments throughout 36 African nations.

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