AfDB Receives Approval for $115bn Capital Increase

• AfDB Receives Approval for $115bn Capital Increase

The African Development Bank has received approval from 80 countries to increase its capital by $115 billion.

The approval, which was made on Friday in Abidjan, was the largest since the bank was established in 1964 and shows shareholders confidence in the bank’s management.

In a statement released by the financial institution, the bank said: “With the approved increase, the capital of the bank will more than double from $93bn to $208bn. This solidifies the bank’s leadership on development financing for the continent.

“The boost in capital ensures that the bank will continue to maintain a sterling AAA rating, all stable, from the top rating agencies.”

The financial institution made the request for capital increase two years ago in an effort to deliver its five development strategies, the sustainable development goals and the Africa Union’s Agenda 2063.

Alassane Ouattara, the President of Ivory Coast, who spoke at the opening ceremony said: “the integration of the continent’s priorities into the High 5s indicates that the African Development Bank group is a strategic partner for African governments.”

On his own part, AfDB President, Akinwumi Adesina said, “We have achieved a lot, yet there is still a long way to go. Our responsibility is to very quickly help improve the quality of life for the people of Africa. This general capital increase represents a very strong commitment of all our shareholders to see better quality projects that will significantly have an impact on the lives of the people in Africa – in cities, in rural communities, and for millions of youth and women.”