The Association of African Development Finance Institutions Annual Workshop. May 27th 2024 | Nairobi, Kenya

On May 28th, 2024, AfDB members of AFAC facilitated a workshop titled “A Practical Roadmap for African DFI’s in Accessing Green Funds” at the 2024 annual meeting of the Association of African Development Finance Institutions (AADFI) held in Nairobi.  The workshop, attended by Chief Executive Officers and Senior Management Executives of DFIs, MDBs, and DFIs supervisory agencies, focused on sensitizing DFIs on strategies to tap into UNFCC climate funds such as the Green Climate Fund (GCF) and the Global Environmental Fund. The opening panel of the workshop included representatives from the Development Bank of Nigeria, Bank of Industry, Nigeria, Afro-Exim Bank, Kenya Development Corporation, and Development Bank of South Africa Agricultural Finance Corporation of Kenya. The opening session provided an overview of challenges and opportunities African DFI's are taking to transition towards greener financial portfolios that support African countries in achieving their NDCs. The common opportunities identified ranged from leveraging partnerships between public and international institutions to innovative product design and project development. The common challenges mentioned included a high-risk perception of green projects, technical capacity for accreditation, inadequate policy frameworks, and data constraints. The second panel discussed the capacity-building mechanisms available for African DFIs to mobilize green finance. It featured representatives from the Global Center on Adaptation, the African Development Bank, Exim Bank India, the Kenya State Department of MSMEs Development, the Global Environmental Facility, and the Global Centre on Adaptation.  The main capacity-building mechanisms identified include technical assistance provided by GCA, GCF, and GGGI AfDB and support in readiness diagnostic studies and project development capacity building provided by GGGI and GCF. The session also emphasized multi-stakeholder collaboration, such as through the GGGI biannual Green Investment Roundtable. The session concluded with a commitment to match AADFI Climate Working Group members with the capacity-building initiatives and institutions identified during the sessions.

Panelists at the workshop on a practical roadmap for African DFIs in accessing green funds, Nairobi – 28th May 2024.