Afreximbank has pledged to enhance its role in promoting a balanced energy transition in Africa, aiming to address the continent’s development priorities and unlock economic growth.
This commitment aligns with the African Union’s 2023 Nairobi Declaration and builds on outcomes from COP28, focusing on climate finance, loss and damage compensation, and the strategic use of gas as a transitional energy source.
The bank’s participation at COP29 in Baku highlights its support for integrating climate change policies with development objectives, leveraging the African Continental Free Trade Area (AfCFTA) to drive sustainable economic growth. These efforts are rooted in the principles of the AU’s Agenda 2063: The Africa We Want.
Afreximbank’s agenda at the summit includes advocating for the rapid implementation of the Loss and Damage Fund to provide timely financial support to African nations grappling with climate-related impacts.
The bank stresses the need for transparent and accessible funding mechanisms that directly aid communities most affected by climate change.
“Africa bears the brunt of global climate change despite contributing less than four percent to global emissions,” Afreximbank President Benedict Oramah said at the African Union’s pavilion on African Day at COP29.
He noted that climate change threatens economic growth, fuels migration, and heightens regional instability–a situation projected to worsen over the next decade.
“Immediate and decisive action is both a matter of environmental responsibility and sound economic policy, as the cost of inaction far exceeds that of proactive measures,” Mr Oramah added.
He emphasised that climate financing for Africa and Caribbean Island States has become an urgent necessity.
The president highlighted that Africa requires between $1.3 trillion and $1.6 trillion annually in climate funding through 2030 to meet its needs. As a trade and development bank, Afreximbank will push for policies and investments to drive the continent’s energy transition, develop its natural resources responsibly, expand infrastructure, reduce energy poverty, and bolster trade.
The bank will also advocate for the scaling up of the New Collective Quantified Goal on Climate Finance to replace the unmet $100 billion annual target. Additionally, it will champion financial tools such as green bonds, concessional loans, and carbon markets to finance Africa’s climate initiatives.
At COP29, Afreximbank plans to engage in several panels and side events. On November 14, it will host a session titled “Financing a Green Transition in Solidarity,” featuring high-profile speakers including Oramah, AU Commissioner Ambassador Josefa Sacko, UNECA Executive Secretary Claver Gatete, and AfCFTA Secretary General Wamkele Mene.
On November 15, Afreximbank will participate in the “Sustainable Trade Africa” event, held in collaboration with UAE Trade and DCG. This event will showcase speakers like Yoofi Grant from Ghana
