AfDB annuals meetings 2023 discusses challenges facing MDBs

The African Development Bank Group’s Annual Meetings 2023 kicked off on Monday the first side event addressing the challenges facing multilateral development banks (MDBs) in adopting blended finance structures to support the low carbon transition of emerging economies.

This panel entitled “Mobilising Blended Finance to Facilitate the Green Transition in Emerging Economies”, was moderated by Aliou MaÏga – Regional Industry Director of the Financial Institutions Group in Africa at the International Finance Corporation (IFC).

The panel also focused on the means to overcome these challenges, which will add to the existing role of these banks and local authorities to mobilise large-scale private capital for financing the green transition within various fields such as clean energy.

However, the session tackled the major challenges facing private sector investments in emerging markets and addressing them through blended finance, along with highlighting the vital role of public-private partnerships (PPP) in reducing the risks of climate investments.

The meeting also shed the light on PPP’s efforts in creating an environment that is conducive to the green transition while providing essential governance tools to ensure transparency and efficiency of blended finance.

Blended finance aims to enable MDBs and international financial institutions to provide the necessary support to emerging economies while mitigating the escalating repercussions of climate change.

Rania Al-Mashat, Minister of International Cooperation, has participated in the session as the keynote speaker, along with Yasmine Fouad, Minister of Environment , Mahmoud Mohieldin, UN Special Envoy on Financing the 2030 Agenda, Rami Abulnaga, Deputy Governor of the Central Bank of Egypt.