African Development Bank Pledges $25 Billion for Climate Finance by 2050

Akinwunmi Adeshina, the President of the African Development Bank, announced on Tuesday that the institution is committed to providing $25 billion for climate finance by the year 2050.

This announcement was made during the second day of the historic African Climate Summit, taking place at the Kenyatta International Convention Centre in Nairobi, Kenya. The African Climate Summit marks a pioneering initiative in Africa, with a central focus on green growth and climate finance, aimed at fostering a prosperous, carbon-free future for the continent.

One of the primary objectives of the summit is to establish Africa’s priorities for the 28th annual meeting of members of the United Nations Framework Convention on Climate Change (UNFCCC), which is scheduled to convene in Dubai, United Arab Emirates, from November 30 to December 12, 2023.

Adeshina emphasized the urgency of taking decisive action at the national level to address climate adaptation.

He stated, “At the national level, we must accelerate actions on climate adaptation, and that is why the African Development Bank has committed to providing $25 billion for climate finance by 2025. We have also launched the African Adaption Act Commission program in partnership with the Global Centre on Adaptation, marking the largest climate adaptation initiative globally. Africa must develop with the resources it possesses, not with those it lacks.”

Highlighting the importance of harnessing Africa’s abundant renewable energy potential, Adeshina called for the integration of natural gas and renewable energy sources to meet the continent’s energy needs. Adeshina emphasized that this approach would contribute a mere 0.5 percent to global emissions.

“We cannot rely solely on potential; we must unlock Africa’s vast renewable energy resources. To achieve this, the African Development Bank is implementing a $20 billion initiative to harness the power of solar energy, providing electricity to 250 million people. Our goal is to power every household, school, and hospital with stable, affordable, and reliable electricity. However, we must also adopt a pragmatic approach, leveraging Africa’s natural gas reserves and combining them with renewable energy,” Adeshina explained.

This commitment by the African Development Bank underscores the growing urgency and global consensus on addressing climate change and fostering sustainable development in Africa.