The OPEC Fund for International Development (the OPEC Fund) is significantly stepping up its development support with nearly $1.2 billion in new funding since June.
The latest projects approved by the Governing Board, which met for its 189th session today, support smallholder farmers and businesses, promote the construction of resilient infrastructure, provide clean water & sanitation solutions and increase climate resilience.
Partner countries’ reform programs will benefit from dedicated OPEC Fund loans. OPEC Fund President Abdulhamid Alkhalifa said: “The OPEC Fund is ramping up its efforts with significant new financing approvals which underscore our commitment to transformative development.
“These investments in our partner countries will boost infrastructure and build resilience, delivering tangible benefits for the people and communities we serve.”
The OPEC Fund’s Governing Board approved the following new projects in today’s meeting and since its last meeting in June 2024.
In Armenia, a €50 million policy-based loan will fund a joint World Bank programme to support government efforts to foster climate change mitigation and adaptation, improve environmental management and energy efficiency, promote human capital development and strengthen governance.
In Benin, a $26 million loan will support the scaling up of investments in agriculture to enhance food security through the Horticulture Development Support Project in partnership with the International Fund for Agricultural Development.
The project will reach 16,000 households and benefit nearly 100,000 smallholder horticulture farmers and family members, nearly half of whom are women and young people.
In Colombia, a $150 million policybased loan will finance and help the implementation of the government’s Decentralisation and Biodiversity Support Program.
It is promoting territorial development by strengthening institutions, improving environmental governance and enhancing biodiversity protection. The program is expected to benefit nearly 16.5 million people.
In Côte d’Ivoire, a €60 million policybased loan for the Economic Transformation and Inclusive Governance Program (PATEGI) – Phase I will promote inclusiveness and governance in public finance management; improve competitiveness and boost the green transition in the transport and energy sectors.
The program is being co-financed with the African Development Bank. Also, in Democratic Republic of Congo, a $30 million loan will improve access to potable water through the development of infrastructure in the Ubangi River basin, specifically in the North Ubangi province in Gbadolité and the rural areas of Mobayi-Mbongo, where access to drinking water is significantly lower (8 per cent) than the national average (18 per cent).
The same thing goes for Honduras where a $15 million loan will enhance food security by promoting resilient and sustainable agriculture in northcentral Honduras. The project will benefit around 140,000 people, prioritizing women and youth.
In Jordan, a $100 million policy-based loan will support a joint World Bank program targeting human capital, which aims to improve the governance and effectiveness of education, health and social assistance.
It will also promote climate resilience including safeguarding households from the adverse effects of rising temperatures.
For Oman, a loan facility of up to $392 million financing, consisting of two tranches (US$180 million and $212 million), will support the Dibba-Lima-Khasab road project, a strategic investment covering a total length of 72km.
The road will reduce travel times, improve traffic safety and boost tourism. In Tajikistan, a loan facility of up to $100 million consisting of four tranches ($25 million each) will support the Rogun Hydropower Plant Project, currently under construction on the Vakhsh River.
The power plant will have an installed capacity of 3,780 MW, promoting energy security in the country and providing clean energy for the entire Central Asia region.
Dor the private sector and trade finance operations, a $10 million loan to a local bank in Armenia will support on-lending to small and medium-sized enterprises (SMEs) and provide funds for green projects.
Also in Botswana, a $40 million loan to a local development organisation will promote economic diversification beyond the diamond industry and support nonmining sectors such as agribusiness, health, education, ICT, finance and energy.