Arab Coordination Group (ACG) Unveils $50 Billion Investment Plan for African Development

In a significant move to bolster support for African nations, the Arab Coordination Group (ACG) has unveiled plans to invest up to $50 billion in the continent.

The announcement, made during the Arab-Africa and Saudi-Africa Summits’ Economic Conference in Riyadh, was presented by Dr. Muhammad Al Jasser, the President of the Islamic Development Bank.

The substantial investment aims to contribute to the development of resilient infrastructure and inclusive societies in Africa, emphasizing the urgency of addressing climate change issues.

With the COP28 climate-change conference looming, the ACG's commitment is seen as a timely and strategic initiative.

Noting the vulnerability of many African countries to climate change, the ACG outlined its commitment to scaling up financial assistance for climate change in alignment with the Paris Climate Agreement.

The financing is intended to bridge investment gaps in crucial areas such as energy security, energy transition, regional integration, trade facilitation, gender and youth initiatives, support for fragile states, development effectiveness, private-sector financing, food security, poverty, and unemployment.

Speaking on behalf of the ACG, Dr. Al Jasser highlighted the alliance's unwavering belief in the potential of Africa, acknowledging the continent's challenges, including the recent global pandemic, food security issues, and the escalating climate crisis.

The ACG expressed its dedication to collaborative efforts with African nations, regional entities, civil-society groups, the private sector, and fellow development institutions to address these challenges.

The Arab Coordination Group, comprised of ten development institutions, has been a longstanding supporter of partner countries in Africa, with cumulative investments exceeding $220 billion in the region to date.

The group's commitment underscores its strategic alliance and coordinated response to development finance.

Members of the ACG include prominent institutions such as the Islamic Development Bank, Abu Dhabi Fund for Development, Arab Monetary Fund, and others.

Source: Arabian Business