The African Export-Import Bank (Afreximbank) has reaffirmed its dedication to supporting Africa’s development and energy needs while addressing climate change.
The bank made this stance clear at at the 29th Conference of the Parties to the UN Framework Convention on Climate Change (COP29) in Baku, Azerbaijan, where it pushed for fair policies that ensure Africa’s economic growth is not compromised by global climate goals.
Building on the African Union’s Nairobi Declaration and COP28 outcomes, Afreximbank advocated for climate finance, compensation for climate-related damages, and the responsible use of natural resources, including gas, during Africa’s energy transition.
This approach aligns with the African Union’s Agenda 2063 vision and the goals of the African Continental Free Trade Area (AfCFTA).
A major focus for the bank is the swift activation of the Loss and Damage Fund, which provides financial support to nations affected by climate disasters. Afreximbank stressed the importance of transparent funding to ensure vulnerable communities receive direct assistance.
Speaking during African Day at COP29, Prof. Benedict Oramah, President of Afreximbank, emphasised the urgency of action.
“Africa is disproportionately affected by the impacts of global climate change despite being responsible for less than 4% of global emissions. Losses in economic growth, migrations and regional instability represent significant negative impacts of climate change on the continent that will probably intensify in the next decade.
“We are at the point where taking action does not only suggest good environmental stewardship but must also be seen as a sound economic policy considering that the cost of immediate and decisive action is far less than the cost of inaction and delayed efforts,” Oramah stated.
“The issue of financing climate adaptation in Africa and the Island States of the Caribbean has become an emergency and as such our participation at COP29 is an opportunity to advocate for Africa and the Caribbean’s climate priorities, amplify their voice in global discussions, and push for urgent climate finance,” he added.
The Afreximbank president noted that Africa requires up to $1.6 trillion annually in climate financing until 2030 to tackle its challenges.
Afreximbank is calling for increased financial mechanisms, such as green bonds and concessional loans, to support Africa’s climate projects.
The bank also participated in high-level panels and events at COP29, including discussions on sustainable trade and financing a green transition.
These sessions brought together African leaders and global stakeholders to advance solutions tailored to Africa’s unique needs, ensuring the continent’s voice is heard in global climate negotiations.
