African Development Fund

Description

The African Development Fund (AfDF), part of the African Development Bank Group (AfDB), contributes to poverty reduction in its member countries by spurring sustainable economic development and social progress. The AfDF comprises 32 contributing countries, including the United States, and benefits 37 developing countries, nearly half of which are fragile states.

Use of Funds

The AfDF provides concessional funding for projects and programs. AfDF-eligible countries include those on their way to becoming new emerging markets and those that remain fragile and need assistance for basic service delivery. Funds go toward the first installment of the AfDF’s 16th Replenishment (AfDF-16), which runs from F.Y. 2023 through F.Y. 2025.

Justification

• In 2021, AfDF regional member countries saw the following results:
  • 7 million people benefited from improvements in agriculture, of whom 1.6 million were women.
  • 875 kilometers of roads constructed, rehabilitated, or maintained, including 708 kilometers in low-income countries.
  • 2 million people have new or improved access to water and sanitation, nearly half of whom are women.
  • 130,000 have better access to education, half of them women.
• In 2021, the share of climate finance was 41% of all approvals, an increase of 7% above 2020, and includes 67% for adaptation and 33% for mitigation.
• Every dollar in U.S. contributions to the 14th replenishment leveraged more than $11 in contributions from other donors and internally generated resources.