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The OPEC Fund for International Development has approved more than US$1 billion in new development financing during its 193rd Governing Board meeting and third-quarter 2025 operations, with Africa receiving a substantial share of the commitments.
The funding will support projects in infrastructure, energy, water, agriculture, and trade, while strengthening resilience and climate action.
In a parallel milestone, the Fund successfully issued its first Euro-denominated benchmark bond, raising €500 million on international capital markets.
The proceeds will be used to finance and refinance projects aligned with its sustainable development mandate.
Strong Focus on Africa
Africa emerged as a key beneficiary of the newly approved financing, with projects spanning both public sector support and private sector operations.
Public Sector Commitments:
- Eswatini: US$50 million policy-based loan to advance fiscal reforms, strengthen competitiveness, and enhance climate resilience.
- Lesotho: US$40 million for the Integrated Transport, Trade & Logistics Project, rehabilitating roads, bridges, and airport facilities to improve trade and safety.
- Malawi: US$27 million for the Jenda Water Supply & Sanitation Project, expanding access to safe water and improved waste management in an agricultural hub.
- Morocco: €100 million policy-based loan to reinforce economic governance and climate resilience, boosting efficiency in water and energy management, and encouraging private sector participation.
- South Africa: US$150 million policy-based loan for Infrastructure Modernization, advancing transport and energy reforms critical to a low-carbon transition.
- Uganda: US$30 million for Local Economic Growth Support – Phase II, aimed at improving agriculture, rural infrastructure, and financial inclusion for 3.5 million people.
Private Sector & Regional Trade Operations:
- Côte d’Ivoire: €40 million for the construction of a 372 MW combined-cycle power plant to increase energy capacity and security.
- Egypt: US$40 million to develop a 1,000 MW solar-plus-storage facility in Aswan, set to be one of Africa’s largest clean energy plants.
- Regional Africa: US$75 million to strengthen cocoa trade finance in Côte d’Ivoire and Ghana, improving traceability and boosting farmer incomes.
Wider Global Operations
Beyond Africa, the OPEC Fund approved projects in Asia, Latin America, the Caribbean, and the Pacific.
These include financing for health system modernization in Fiji, education enhancement in Papua New Guinea, fiscal reforms in the Kyrgyz Republic, and transport projects in El Salvador and Türkiye, among others.
Support was also extended to private sector initiatives in Bangladesh, Jordan, Oman, and Paraguay, focusing on trade finance, renewable energy inputs, and SME development.
Building a Stronger Financial Base
The successful issuance of the 500 million Euro benchmark bond marks a new chapter in the OPEC Fund’s funding strategy.
It broadens the institution’s investor base and enhances its ability to finance large-scale, sustainable projects.
OPEC Fund President Abdulhamid Alkhalifa said the approvals and the bond issuance demonstrate the Fund’s commitment to innovation and impact:
“The new approvals, alongside our inaugural Euro benchmark bond, are a clear demonstration of our commitment to delivering more for our partner countries. We are deepening our support for resilience, inclusive growth, and climate action, while laying the groundwork for long-term opportunities. As we approach our 50th anniversary in 2026, these twin milestones highlight our ability to innovate, grow, and drive transformational impact for decades to come.”
Looking Ahead
Established in 1976, the OPEC Fund has financed projects in more than 125 countries.
As it nears its 50th anniversary in 2026, the Fund is strengthening its financial base and project portfolio to expand its global reach.
Africa, with its urgent infrastructure and climate challenges, remains at the heart of these efforts.
About the OPEC Fund
The OPEC Fund for International Development (the OPEC Fund) is the only globally mandated development institution that provides financing from member countries to non-member countries exclusively.
The organization was established in 1976 with a distinct purpose: to drive development, strengthen communities, and empower people in low- and middle-income countries around the world.
Our work is people-centered, focusing on financing projects that meet essential needs, such as food, energy, infrastructure, employment (particularly relating to MSMEs), clean water and sanitation, healthcare, and education.
To date, the OPEC Fund has committed more than US$30 billion to development projects in over 125 countries with an estimated total project cost of more than US$200 billion.
