Capital Increase

Meeting on 23 April 2010 in Washington D.C., a committee of Governors representing the African Development Bank (AfDB)'s shareholders endorsed a tripling of the Bank’s capital resources to nearly USD 100 billion and recommended acceptance by the full membership. This substantial increase will allow the AfDB to sustain a higher level of lending, including to the private sector, in response to overwhelming demand in all countries. Read more

Before the financial and economic crisis, the Bank Group had carefully crafted, a Medium Term Strategy 2008-2012 to chart the way ahead. That strategy did not envisage a General Capital Increase till 2013 at the earliest. It was at the same time a strategy predicated on continued solid growth in most African Countries and the role of the Bank in supporting that growth through better infrastructure, stronger private sector, robust institutions and greater economic integration. As the global economic turbulence reached our shores, we had to innovate to support our countries, to mitigate and minimize the impact. The Bank has responded quickly and effectively to requests from our regional members, enabling them to maintain crucial investment, helping them mitigate the worst effects.

There is an immediate need for the Bank to receive a capital infusion in a magnitude consistent with the needs of its borrowing countries. Such an action would be consistent with the vital role that the Bank can and should play in Africa’s future. It is increasingly playing a crucial part in the continent’s development efforts and is deepening its position as Africa’s leading development finance institution and as a lender of choice.