The African Development Bank (AfDB) and the Islamic Development Bank (IsDB) have agreed to jointly pull together the sum of $2 billion over the next three years to finance development projects in Africa, mainly in agriculture and food security, renewable energy, small and medium enterprises, and human development (health and education).
To realize their shared objective, the two financial institutions agreed to each contribute $1 billion over three years for joint activities focusing on these priority areas and sectors, AfDB announced in a press release.
The IsDB will also engage with the African institution to implement the High 5s- the five areas in which the AfDB is focusing on to help accelerate Africa’s economic transformation.
IsDB is among the largest contributors of co-financing to the IfDB. The two institutions have co-financed projects valued at over $2.5 billion for the period 2002—2016.
The AfDB has a country presence in 21 out of the 27 common member countries with IsDB. As part of the new agreement, AfDB and IsDB are to complement and make use of each other’s staff expertise at country-level, the press release said.