AfDB pours $7,8 billion into African economies: Report Dr Akinwumi Adesina
Dr Akinwumi Adesina

Dr Akinwumi Adesina

Business Reporter
THE African Development Bank (AfDB), under the leadership of Dr Akinwumi Adesina, has increased disbursements to support structural transformation of countries in Africa, according to its annual report, released during the annual meetings in Busan, Korea last week.

Bank disbursements reached US$7,81 billion in 2017, a 15 percent increase over 2016, the highest on record for the top regional bank.

“This increase was driven, to a large extent, by the 42 percent increase in project loan and grant disbursements, which reflect in part, improved portfolio management. The Bank approved 249 operations amounting to US$8,93 billion,” it said.

“This was reflected in its core financing, disbursements, operational strategies and portfolio management.”

Dr Adesina, indicated that this reflected a 56 percent increase in disbursements for non-sovereign operations. A clear sign of the bank group’s increasing engagement with Africa’s private sector, non-sovereign operations accounted for 38 percent of AfDB’s approvals, the highest on record, said the bank.

While AfDB’s net operating income declined between 2014 and 2015, it has turned around rapidly.

“The bank group also continued to grow its income. Net operating income increased in 2017 to US$817,69 million, up from US$631,08 million in 2016, a 29,6 percent increase and the highest since 2009,” Dr Adesina said, adding, “The bank also consolidated its position as Africa’s leading knowledge institution by taking full leadership responsibility for the publication of a key flagship — the African Economic Outlook.”

The AfDB said it was stepping up the pace by focusing on five priorities that are crucial for accelerating Africa’s economic transformation: the High 5s include light up and power Africa, feed Africa, industrialise Africa, integrate Africa, and improve the quality of life for the people of Africa.

These guide the bank’s operations to deliver critical development impacts in Africa. For example, once completed, power generation projects approved in 2017 will install 1 400MW of new renewable energy capacity. Light up and power Africa provided 4,4 million people with electricity. Feed Africa provided 8,5 million people with improved agricultural technologies.

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