Africa Finance Corporation (Afc), the main provider of infrastructure solutions on the continent, and Cassa Depositi e Prestiti (Cdp) have signed a 50 million euro financing agreement on the sidelines of COP28 in Dubai. The financing will play a crucial role in supporting the AFC’s investments in renewable energy, energy efficiency projects and climate-resilient infrastructure.
Over ten years, AFC will be able to accelerate its efforts to address Africa’s infrastructure deficit, while funding projects that help mitigate climate change, reduce greenhouse gas emissions and promote sustainable development. The agreement, we read in a note, marks a further step forward in the strategic relationship between AFC and CDP, which has already seen the AFC receive approximately 150 million dollars in bilateral loans.
The signing of the agreement at COP28 underlines the alignment of the AFC and CDP with international efforts to combat climate change and progress in achieving the Sustainable Development Goals. It lays the foundation for innovative financing solutions that leverage the strengths of both institutions, combining AFC’s expertise in infrastructure development and deep knowledge of Africa with CDP’s expertise in sustainable project financing. The partnership will accelerate the development of infrastructure projects that address Africa’s climate challenges, contribute to job creation and improve the livelihoods of local communities.
Commenting on the deal, Sanjeev Gupta, board member and executive director of financial services at AFC, said: “Managing risks to achieve desired returns and impact requires understanding local realities for global capital to work effectively in developing markets. Our continued collaboration with CDP supports essential strategic cooperation between African and European institutions, to ensure that the global agenda on economic development, climate justice and prosperity for all is achieved equitably. We will use this funding to increase our investments in resilient infrastructure that contributes to rapid industrialization, economic development and sustainability on the African continent.”
Satisfaction was also expressed by Paolo Lombardo, head of international development cooperation at CDP: “As emerged here at COP, sustainability, climate mitigation and adaptation are global challenges that require joint efforts, and this is why we are We are pleased to extend our partnership with AFC, which has proven to be an excellent catalyst for innovative projects.” [Da Redazione InfoAfrica]
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